Australia announced on Monday that it has more than doubled the visa fee for international students, as part of the latest effort by the government to curb record migration, which has exacerbated the pressure on an already strained housing market.

Starting from 1st July, the international student visa fee increased from A$710 to A$1,600, and visitor visa holders and students with temporary graduate visas are now prohibited from applying for a student visa while onshore.

“The changes coming into force today will help restore integrity to our international education system, and create a migration system which is fairer, smaller and better able to deliver for Australia,” said Home Affairs Minister Clare O'Neil. 

Official data released in March indicated that net immigration surged by 60%, reaching a record 548,800 people in the year leading up to 30th September 2023.

The fee increase makes applying for a student visa in Australia significantly more expensive compared to competing countries such as the US and Canada, where the fees are approximately US$185 and C$150 respectively, Reuters reports. 

Furthermore, the government announced it is closing loopholes in visa regulations that permitted foreign students to repeatedly extend their stay in Australia.  

This decision comes after the number of students on a second or subsequent student visa surged by over 30% to more than 150,000 in 2022/23. 

This latest measure follows a series of actions taken since late last year to tighten student visa regulations. The easing of Covid restrictions in 2022 had led to a surge in annual migration, reaching record levels.

In March, English language requirements were tightened, and in May, the amount of savings international students need to obtain a visa was increased from A$24,505 to A$29,710, marking the second rise in about seven months. 

However, Universities Australia CEO Luke Sheehy warned that the government's ongoing policy pressure on the sector could jeopardise Australia’s competitive advantage. 

“This is not good for our economy or our universities, both of which rely heavily on international student fees," Sheehy commented. 

International education stands as one of Australia's major export sectors, contributing A$36.4 billion to the economy in the 2022/2023 financial year.

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