Australia’s international student flow is drying up as visa applications and approvals continue to fall. The latest data from the Department of Home Affairs shows offshore student visa applications fell 3% in 2025–26, with China – the country’s biggest source of international students – down 26%. Applications also fell from India, Vietnam and Sri Lanka. While Nepal and Bangladesh recorded more applications, higher refusal rates led to an overall 16% drop in student visas granted compared with the previous year.
The sharpest declines came from South Asia. In June, visa grants fell 75% for India, 89% for Bangladesh and 94% for Nepal compared with the same month last year. Approval rates were also low, with only 46% of Indian applicants receiving visas, 22% from Bangladesh and 14% from Nepal. Overall, about one in three offshore higher education visa applications was rejected.
The tougher visa environment comes as Australia raises its student visa application fee from A$2,000 to A$2,500, a move that education agents warn could further discourage applicants. Industry groups have proposed splitting the fee so unsuccessful applicants lose less money. Meanwhile, most public universities remain well below their international student recruitment targets for 2026, suggesting enrolment challenges are likely to continue despite the government’s planned intake allocations for 2027.
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