Australia Boosts Student Visa Cap to 295,000 in 2026, Prioritizing South-east Asian Applicants
In a move set to reshape the future of international education, Australia has announced a plan to increase its foreign student visa cap to 295,000 by 2026—an encouraging signal to aspiring students worldwide, especially those from South-east Asia.
This 9% increase, revealed by the government on August 4, 2025, comes as part of a broader recalibration of migration policies after concerns over housing shortages and soaring rent prices. The previous cap for 2025 stood at 270,000, but the government’s recent efforts to bring migration numbers under control have opened the door for a strategic and manageable expansion.
“This is not just about numbers,” said Education Minister Jason Clare. “It’s about ensuring that growth in international education is responsible, student-focused, and aligned with Australia’s long-term national interest.”
Australia is already a top destination for students, having granted nearly 600,000 student visas during the 2023 financial year—numbers fueled by a post-pandemic surge in global mobility. The largest student populations currently come from China and India, but this new policy places a clear emphasis on welcoming more students from South-east Asia, reinforcing diplomatic and cultural ties across the region.
Assistant Minister for Education Julian Hill described the earlier surge as “out of control,” adding that “tough but necessary” decisions made over the past year—including doubling the visa fees in 2024 and closing loopholes—have finally stabilized the system.
The increased cap is not just about more seats. The government is encouraging universities, especially the larger public ones, to guarantee safe and secure housing for both local and international students. In return, universities demonstrating stronger ties with South-east Asian communities may be rewarded with larger student intakes.
Hill emphasized the broader vision: “For Australia’s future soft power, it’s vital that students from neighbouring countries take a piece of Australia with them—into leadership, into business, and into life.”
Universities Australia responded positively. CEO Luke Sheehy called the move a “sensible” step forward. “This increase reflects trust in our education sector and answers our call for growth in a sector that supports tens of thousands of jobs and communities across Australia,” he said.
It’s clear: Australia isn’t just opening its doors—it’s planning for a smarter, more sustainable future where education builds bridges, not burdens.