Australian Universities' Shameless Pursuit of Indian Student Revenue, By Paul Walker

Australia's higher education sector has become increasingly reliant on international tuition fees, with Indian students emerging as a prime target. In the year to July 2025, Indian enrolments hit a record 159,530, surging 31,000 above pre-pandemic levels and representing a staggering 6.6-fold increase since 2005. Of these, over 94,000 were in universities, underscoring how Indian applicants prop up university budgets amid domestic funding shortfalls. Tuition fees for international students range from AUD 20,000 to 50,000 annually, far exceeding what Australian citizens pay, making this cohort a financial lifeline for cash-strapped institutions. Universities, facing policy squeezes and enrolment caps, have aggressively marketed to India, often prioritising revenue over rigorous admissions standards.

This pursuit reached new heights with the Australian government's recent easing of student visa rules for India, shifting the country from high-risk Level 3 to moderate-risk Level 2 effective September 30, 2025. The change slashes upfront requirements for financial proof and English proficiency, streamlining applications and promising faster processing times. Migration agents hailed it as a "positive update," enabling "smoother admissions" and "greater confidence" for Indian families eyeing Australian degrees. Yet, this adjustment arrives amid broader concerns: Jobs & Skills Australia reports that nearly 70% of international students, including 77% of Indians, choose Australia for migration prospects rather than pure education, with over 90% citing work opportunities during studies. Universities appear unfazed, throwing open their doors wider to capitalise on this dual-purpose influx.

The desperation is evident in recruitment tactics. Australian institutions have organised events like the 'Festival of Australia' in Indian cities such as Kolkata and Coimbatore to lure aspirants directly to university representatives. Some, like Western Sydney University and Victoria University, are even establishing campuses in Uttar Pradesh's Greater Noida and Noida, offering programs in business analytics, data science, and cyber security to tap into local demand without the full visa hurdles. This expansion bypasses traditional barriers, allowing universities to harvest fees from Indian students on home soil while funnelling them toward Australian qualifications and potential migration pathways.

Past scandals highlight the lengths to which universities will go. Despite temporary bans on recruiting from high-fraud-risk Indian states like Punjab and Haryana due to visa rorting, where applicants used studies as a work visa backdoor, institutions like Federation University and Edith Cowan University quickly reversed course after reviews, resuming aggressive outreach. These restrictions stemmed from a 48% drop in Indian visas granted between late 2022 and 2023, driven by fraud concerns, yet universities lobbied for leniency, arguing for "active recruitment from all parts of India." The result? A system where non-genuine students slip through, as evidenced by high dropout rates and one-in-four applications flagged as fraudulent. Universities' complicity in this, through lax agent oversight and pressure to fill seats, betrays a shameless focus on profits over academic integrity.

Financial dependence amplifies the issue. International education is Australia's largest export service, valued at billions, with Indian students contributing disproportionately through fees and remittances. Public universities, capped at 145,000 international spots in 2025, and private ones at 30,000, are racing to secure Indian enrolees amid rising domestic tuition hikes of up to 7%. Experts predict a 5-10% dip in overall commencements due to policy tweaks, pushing institutions to double down on India despite risks like visa hopping and attrition. In South Australia alone, Indian enrolments rose 6% to over 16,000 in 2024, fuelling a $3.2 billion sector.

Critics argue this border on exploitation: universities market "high-quality education" and post-study work visas to students primarily seeking residency, ignoring warnings from bodies like the Department of Home Affairs. The Albanese government's agreements, like the Migration and Mobility Partnership, further grease the wheels, opening "student-migration pathways" even as net migration caps aim to halve inflows by 2025. With 80% of South Asian students working during studies and sending remittances home, the system sustains itself on this cycle, but at what cost to Australian resources and university standards?

In essence, Australian universities' unapologetic scramble for Indian students reveals a sector addicted to foreign fees, willing to overlook fraud risks and migration motives for short-term gains. As visa doors swing wider, expect even bolder recruitment, branch campuses, targeted festivals, and minimal scrutiny, prioritising balance sheets over the sham of selective, merit-based education. This isn't partnership; it's a revenue grab dressed in academic robes.

https://www.macrobusiness.com.au/2025/10/australia-opens-indian-student-migration-pathway/