Advertisement
Coronavirus pandemic
This Week in AsiaEconomics

Calls mount for Australia to help international students facing financial hardship due to Covid-19

  • The state of Victoria has broken ranks with the federal government to offer US$29 million to international students facing money problems because of Covid-19
  • Chinese students are also affected, as they account for almost a third of Australian universities’ revenue from international students

Reading Time:4 minutes
Why you can trust SCMP
Students from China pose for family photos after graduating from a University of Sydney course in 2017. Photo: AFP
Joshua Mcdonald

Should the Australian government do more to support international students suffering economic hardship during the Covid-19 pandemic? That’s the debate that has arisen after the state of Victoria last week went against the federal government’s stance by pledging A$45 million (US$28.85 million) in relief payments to international students.

Victoria’s International Student Emergency Relief Fund will provide a payment of up to A$1,100 for “vulnerable international students who have lost their job or had a significant reduction to their employment and are facing financial hardship” as a result of Covid-19, according to the state’s education website.

The number of international students in the state has already dropped from 250,000 last year to about 150,000 last month, according to local media reports, with universities estimating a loss of close to A$6 billion in related revenue so far.

The federal government previously ruled out offering support to the 500,000 international students elsewhere in the country, with Australian Prime Minister Scott Morrison on April 4 saying “if international students are not in a position to be able to support themselves, then there is the alternative for them to return to their home countries”.

Advertisement

However, there are growing calls for the federal government to do more to shore up Australia’s international education sector, which contributed A$37.6 billion to its economy in the financial year ending June 2019, according to the country’s education ministry – an increase of A$5 billion from the previous financial year.

Prime Minister Scott Morrison has said international students can return home if they are unable to support themselves in Australia. Photo: Bloomberg
Prime Minister Scott Morrison has said international students can return home if they are unable to support themselves in Australia. Photo: Bloomberg
Advertisement

According to modelling by Victoria University’s Mitchell Institute, the Australian economy is expected to lose up to A$60 billion over the next three years if international students are unable to return to university.

Advertisement
Select Voice
Choose your listening speed
Get through articles 2x faster
1.25x
250 WPM
Slow
Average
Fast
1.25x