Australia is experiencing a significant decline in international student interest, with visa applications falling by 32% between 2023 and 2025, according to a report by ICEF Monitor.
The report, cited by the Economic Times, points to mounting challenges within Australia’s international education sector, driven by rising study costs, tighter visa regulations, and increasing rejection rates.
It noted that these pressures are already impacting student enrolments across major source markets and could alter the country’s education pipeline in the years ahead.
Particularly affected are English-language programmes (ELICOS) and vocational education and training (VET), while universities that rely heavily on foreign students are also beginning to feel the strain.
ICEF Monitor warned that current visa trends present a concerning outlook for future enrolments, stating that the drop in applications signals potential long-term effects on the sector.
The report further revealed that incoming student numbers are no longer sufficient to replace those leaving the system, raising concerns about sustainability.
Stricter government policies over the past three years have been identified as a key factor behind the decline, including increased visa fees and tighter controls on student inflows. Australia’s student visa fee has now risen to AU$2,000—among the highest globally.
Although higher education enrolments recorded a 9.7% increase between 2024 and 2025, the report said this growth is being offset by declining demand from China and high rejection rates for applicants from India, Nepal, and Bangladesh.