Entry requirements lowered

UNIVERSITIES have welcomed Canberra's decision to lower entry requirements for overseas students applying to take courses in Australia.

UNIVERSITIES have welcomed Canberra's decision to lower entry requirements for overseas students applying to take courses in Australia.

The decision is in response to collapsing demand in the international education market.

Immigration Minister Chris Bowen and Tertiary Education Minister Chris Evans yesterday announced the changes for students applying to Australian universities, including from the multi-billion-dollar Indian and Chinese markets.

At present, university applicants from both countries must prove they or a close relative can provide three years' worth of money to support their study in Australia. Under the changes, students would only require two years' worth.

The change is designed to deal with a drop in applications across the $18 billion international education business, following tougher immigration restrictions imposed to stop students with poor English using low-skill vocational courses as a fast track to permanent residence.

Since the system was tightened in February, private sector training colleges catering for the international market have collapsed. But universities dependent on foreign income also warn demand is drying up.

Central Queensland University, where international students account for almost half of total enrolments, is expecting a 25 per cent drop in commencing overseas students both next year and in 2012.

Earlier this week, Monash University, Australia's largest international education provider, announced 350 redundancies in response to a 30 per cent drop in demand in its university preparation college, which relies on foreign students.

Senator Evans said the drop in demand was due to the high Australian dollar and increased competition from the US, Canada and New Zealand.

Both the training and university sectors say the fall-off is largely due to long application processing periods and strict visa restrictions that require potential students to prove they have about $100,000 to meet tuition fees and living expenses.

In contrast, competing English-speaking countries generally require a quarter of that amount.

According to Jennie Lang, pro vice-chancellor international at the University of NSW and spokeswoman for peak lobby group Universities Australia, the Gillard government's concession is "a very positive measure".

The government has also established a review chaired by former NSW Labor minister Michael Knight to review student visas, which Ms Lang said should recommend a new program to allow foreign graduates of local universities to stay in Australia for several years. This would improve their employment chances when they returned home, she said.