Australia’s ruling party plans another student visa fee hike as part of pre-election promises

SYDNEY, April 28 — Australia’s ruling Labor Party announced today it plans to raise international student visa fees to A$2,000 (RM5,577) if re-elected, marking the latest move targeting the lucrative education sector, a major driver of immigration.

The proposed increase, up from the current A$1,600, is expected to generate A$760 million over the next four years, according to a statement from Treasurer Jim Chalmers and Finance Minister Katy Gallagher outlining Labor’s election policy costings.

“We believe this is a sensible measure that reflects the value of studying in Australia,” Gallagher told reporters at a news conference.

The government had already more than doubled the student visa fee last July, raising it from A$710 to A$1,600.

Meanwhile, Australia’s conservative opposition has pledged an even steeper rise, proposing a minimum fee of A$2,500, and A$5,000 for applicants to the country’s elite Group of Eight universities.

International students are a key revenue source for Australian universities but are also partly blamed for contributing to surging net migration and rising housing costs.

Government data shows nearly 200,000 international students arrived in Australia in February 2025, a 12.1 per cent increase compared to the previous year, and 7.3 per cent higher than pre-pandemic levels recorded in February 2019.

Labor has pledged to cap new international student commencements at 270,000 in 2025, while the opposition has proposed a lower cap of 240,000.

In 2024, over a million international students were enrolled across Australia, with 572,000 students beginning new courses.

Currently, Australia’s student visa fees are significantly higher than those in comparable countries, with fees around US$185 in the United States and C$150 (approximately US$108) in Canada. — Reuters