Australia Boosts University Student Allocations for 2026 with Focus on Southeast Asia and Accommodation

Federal Government Increases International Student Places for 2026

The Australian federal government has confirmed an increase in New Overseas Student Commencements (NOSC) limits for publicly funded universities for 2026. The National Planning Level (NPL) for new international student commencements has been set at 295,000, representing an additional 25,000 places compared to 2025, and an overall increase of approximately 9%. This decision, announced by Education Minister Jason Clare and Assistant Minister for International Education Julian Hill, aims to foster a sustainable international education sector while aligning with national strategic priorities.

Strategic Priorities: Southeast Asia and Student Housing

Universities seeking increased allocations were required to demonstrate commitment to two key government priorities: enhanced engagement with Southeast Asia and the provision of adequate student accommodation. The government emphasized that engaging with Southeast Asia is in Australia's national interest, supporting diplomatic efforts and strengthening international ties. The focus on student housing addresses concerns about urban housing pressures and ensures safe and accessible accommodation for both domestic and international students.

Assistant Minister Hill stated, 'Engaging with south-east Asia is in Australia's national interest, and the 2026 international student allocations recognise universities which are demonstrating genuine focus on our region.'

Allocation Outcomes Across Universities

All publicly funded universities received at least their 2025 allocation. Of the 37 publicly funded universities, 32 requested an increase in their international student intake, with 31 of these receiving at least 50 new student places.

• Regional universities secured significant proportional growth, including Charles Sturt University (+60% to 1,600), Federation University (+64% to 1,800), the University of Newcastle (+28% to 2,050), and Charles Darwin University (+20% to 2,650).
• The University of Sydney was the sole public university that requested an increase but did not receive one, maintaining its allocation at 11,900. This was attributed to a perceived lack of 'realistic plans' for diversifying its international student cohort, insufficient 'genuine commitment' to Southeast Asian engagement, and limited 'evidence of appropriate investment in new housing.'
• Other major allocations include Monash University with 11,300 places, the University of Melbourne with 10,500, and the University of New South Wales with 10,350.

Broader Policy Context and Future Outlook

The increased allocations are part of a broader policy framework aimed at 'managed growth' within Australia's $51 billion international education sector. The government is also finalizing a new Ministerial Direction to replace Ministerial Direction 111, which may introduce a third, slower visa processing lane for institutions that exceed their allocated quotas. This move follows a 26% decrease in visa applications compared to the previous year. Additionally, international students transitioning from Australian secondary schools or recognized pathway providers to public universities will no longer be counted under the NPL from 2026, further refining the management of student numbers.