Mayors Warn: Student Caps Hurt Big City Economies

Council of Capital City Lord Mayors

The Lord Mayors of Australia's largest capital cities have expressed concern over unintended consequences of the Federal Government's proposal to introduce a cap on international students.

International students contribute significantly to the Australian economy. Our capital cities, as the primary hubs for these students, benefit directly through increased demand for retail, transportation, and other services, contributing to job creation and economic vibrancy. The presence of international students enriches the cultural fabric of our cities, fostering a globally connected and inclusive society.

"In the 22-23 financial year, International students generated $36.4 billion[1] in activity across Australia. A cap on international student numbers would diminish these economic benefits and damage Australia's reputation as a world-leading destination for education" said Lord Mayor of Melbourne, Nicholas Reece. "Our universities have worked tirelessly to enhance their global competitiveness, investing in world-class facilities, innovative research, and comprehensive support services to attract top talent from around the globe."

The Council of Capital City Lord Mayors (CCCLM) encourages the government to work with the sector to avoid the unintended consequence of students opting to study in other countries.

In response to the challenges in the global education marketplace, all levels of government have collaborated with universities to ensure that Australia remains a top choice for international students. This includes significant investments in infrastructure, policies to enhance student welfare, and strategic marketing campaigns to promote Australia's unique education offerings.

The CCCLM urges the Federal Government to engage with stakeholders to explore alternative approaches that support the sustainable growth of our cities and the nation's economy.

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