International student visa applications crash after COVID-19

Visa applications from international students based overseas slowed to a trickle after COVID-19 travel bans were introduced.

Innovative indusries in NSW need more international students to supply skills, says the Committee for Sydney. Photo: Tim Pascoe

Visa applications from international students based overseas slowed to a trickle in the months after COVID-19 travel bans were introduced, according to figures from the Department of Home Affairs.

Department of Home Affairs officials told an international education industry briefing last week that the number of students applying for visas from offshore fell to less than 5000 a month in April, May and June.

The biggest fall was in May, when offshore visa applications were 88 per cent less than in May 2019. In the full 2019-20 year, student visa applications from offshore were down 33.5 per cent compared to 2018-19, with most of the loss coming from March onwards.

The data comes as the federal government is being urged to offer international students stronger incentives to choose Australia rather than competitor countries to study, and then remain after they have completed their degree to fill shortages in highly skilled jobs.

A report this week from the Committee for Sydney said students should be offered easier access to post-study work and permanent residency visas in order to retain “smart, globally-connected talent”.

The Department of Home Affairs figures revealed the biggest drop was in students applying from India, which fell by over 28,000 students, or nearly half compared to the 2018-19 number.

The number of applicants from Nepal fell by 60 per cent, or over 17,000 students, compared to the previous year.

The only bright spot is students applying from China, Australia’s largest student market, dropped by only 20 per cent, or 11,000 students, in the 2019-20 year compared to the previous one.

The international education industry is concerned that competitor countries — in particular Canada and the UK which are still admitting international students and have generous post-study work schemes — will pick up students at Australia’s expense.

“We now have clear evidence that international students are voting with their feet to enrol in competitor countries compared to Australia,” said the CEO of the International Education Association of Australia, Phil Honeywood. “While China being down by only 20 per cent may not be a major concern, education providers will worry that India is down by 47 per cent and Nepal by 60 per cent.”

The federal government is now working to attract international students back to Australia, last week unveiling changes to the post-study work visa which will allow most student visa holders to count the time they spend enrolled in Australian courses online from overseas, towards the eligibility period they must fulfil.

In its report the Committee for Sydney said the government should be more competitive in offering international students (particularly postgraduates) the opportunity to remain in Australia after graduating.

“Their expertise, intelligence and transnational links provide talent that could be helping Australian firms to grow, adding jobs and exporting more as a result,” said the report, Unleashing Sydney’s Innovation Economy.

“Australia should provide a pathway to permanency for international students who complete study and then work in key industries (e.g. computer science or advanced manufacturing).”

It also urged the NSW government to build a list of occupations in which skills are needed to boost innovative sectors of the state’s economy and use a dedicated visa stream to attract more students qualified in these areas to stay after they complete their study.

In 2017, permanent residency visas were granted to only 4 per cent of international students and temporary graduate visas to only 16 per cent, the report said.