Australia's Immigration Levels Remain High Despite Promised Cuts

Australia's immigration levels have remained high despite government expectations of a reduction. Treasurer Jim Chalmers attributed the persistent high net immigration levels to a decrease in the number of people leaving the country, rather than an increase in arrivals. The May Budget had forecasted a significant drop in net overseas immigration from 528,000 in 2022-23 to 260,000 in 2024-25, but recent data showed that 509,800 migrants entered Australia in the year leading up to March. Chalmers indicated that the upcoming mid-year economic and fiscal outlook would likely revise these immigration forecasts upward due to fewer Australians departing. He emphasized that while arrivals were aligning with expectations, the notable difference was in the departure rates, which were lower than anticipated. This trend has implications for the overall net overseas migration figures. The permanent intake for 2024-25 is set at 185,000, which includes skilled migrants. Additionally, the number of international student visa holders has surged, with figures rising from 473,514 in January to 672,782 by October. This growth in international students has made education Australia's largest services export, valued at approximately $48 billion. However, some experts argue that the economic contribution of international students is overstated. Kevin You from the Institute of Public Affairs suggested that the actual value should be around $31 billion, as it includes local spending by students as export revenue. The government has also announced plans to cap international student arrivals at 270,000 for 2025, indicating a shift in immigration policy.