Albanese’s Second Term: Increasing
International Student Visa Fees Is On The Table?
Anthony Albanese secured a second term as prime minister over the weekend, but the government has yet to confirm if it will press ahead with the campaign proposal to increase visa fees from AUD $1,600 to AUD $2,000.
During the campaign, the Albanese-led Labour Party, which was re-elected over the weekend, declared that the cost of international student visas would increase from the current AUD $1,600 to AUD $2,000. This comes after a sharp increase from AUD $710 last year, highlighting the government's growing reliance on the foreign education industry to support its budget.
Experts point to factors like academic quality, extended post-study work rights under the Australia-India Economic Cooperation and Trade Agreement (AI-ECTA), and Australia’s reputation for safety as key drivers behind this surge.
Ravi Lochan Singh, Managing Director of Global Reach, a study abroad consultancy based out in Australia, told FPJ that while both major Australian parties have been pushing for limits on international student numbers, the Labor government has taken a “much more reasonable” approach.
“They have basically pushed for applying a certain cap on total arrivals and initiating measures that will safeguard the integrity of the student visa system,” Singh said, noting a shift in attitudes from last year when most stakeholders lobbied against caps.
Singh expects the re-elected government to persist with its announcements and to bring the ESOS Bill back to Parliament in the coming months. “The Indian student numbers are healthy and the visa grant rates in the last six months have been very good. I would hope for continuity,” he added.
On the proposed visa fee hike to AUD $2,000, Singh acknowledged it as “a significant jump once again” but believes genuine students will adjust their plans accordingly, given that “the student visa process has become far more assured” and that “students from the right background and heading to the right institutions are more or less certain to get the visas.”
University executives have indicated they are paying close attention to the policy landscape. The Vice-President (External Engagement) of the University of Sydney, Kirsten Andrews, mentioned concerns regarding the "lack of clarity for students" in the visa system that is "leading to confusion and eroding confidence in Australia as a preferred and reliable destination for high-quality tertiary education." In the same vein, the University of Queensland also reiterated its focus on "maintaining the quality and sustainability of Australia's higher education sector" while cooperating with the government.
Yet despite these rising costs, Australia has now overtaken the United States to become the most popular study destination for Indian students. Australia took 28% of first-preference choices among Indian students, followed by 22% for the US and 21% for the UK, as per a March 2025 survey by global education provider IDP Education.
Australian universities going global
Australia universities are going global, especially in India, as regulations at home grow stricter. Being part of the elite Group of Eight (Go8) and ranked among the world's best 100 universities, the University of Western Australia (UWA) has made an application to the University Grants Commission (UGC) for opening branch campuses throughout India, beginning with a Mumbai campus. Having campuses in Gujarat International Finance Technology City (GIFT City), UWA is following in the footsteps of Australian universities Deakin and Wollongong.
Speaking at the WAVES summit in Mumbai, where she met with Maharashtra Chief Minister Devendra Fadnavis and Prime Minister Narendra Modi, UWA Chancellor Diane Smith-Gander underscored the university's historic research partnerships with India in business, plant sciences, and agriculture. "We feel a connection with India and wish to extend that into a meaningful footprint," she said, affirming UWA's dedication to assisting India's National Education Policy (NEP) 2020.
Simultaneously, Adelaide University, due to open in 2026 through the merger of the University of Adelaide and the University of South Australia, expects to train an additional 6,000 international students by 2034, injecting over $360 million annually into the South Australian economy. A spokesman also added, "We welcome the opportunity to constructively work with the Australian Government to help our international education sector continue to expand while contributing to state and national interests."
The University of Melbourne also highlighted the significance of the industry, describing international education as "a highly valued national asset" and reiterating its commitment to become one of the first options for international students.
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