Adelaide University Merger Hit by International Student Crackdown
Adelaide University's international student numbers are declining due to the federal government's crackdown on migration, putting the institution's merger plans and revenue targets at risk. The university is facing a projected revenue shortfall of $90 million due to the decline in international student enrolments.
Adelaide University's ambitious plan to boost its international student numbers appears to be off track, with the institution facing a significant revenue shortfall due to the federal government's crackdown on migration.
The university, which was formed through the merger of the University of Adelaide and the University of South Australia earlier this year, had projected that it could attract 6,000 additional international students by 2034. However, statistics show that its international student numbers are actually declining.
In 2026, Adelaide University enrolled 16,677 individual international students, down from 20,820 at the same point last year. The university's deputy vice-chancellor, international and external engagement, Professor Jessica Gallagher, attributed the decline to the federal government's policy changes, including increased student visa fees and a soft cap on new international student enrolments.
"We are deeply concerned by the policy direction," Professor Gallagher said.
Professor Gallagher said that the changes "absolutely" jeopardized the university's target for 6,000 additional international students.
"The policies that have been introduced over the last 12 months have had a significant impact on our attractiveness to international students," she said. "I would say that on the basis of this year, it's going to be a much tougher challenge for us [to meet that target]".
The university is facing a projected revenue shortfall of $90 million due to the decline in international student enrolments, which are 40 per cent below target for semester one. A spokesperson said that the university has also experienced a similar percentage decrease in international student enrolments in semester two.
Professor Gallagher said that Adelaide University had experienced a "stark increase" in student visa refusals and had been "hit harder" than other Group of Eight universities due to its high number of students from India, Bangladesh, Sri Lanka, and Nepal.
Professor Andrew Norton, a higher education policy expert at Monash University, said that the merger coincided with changes to federal migration policies, making it a "bad timing" decision.
"If this had been done five years ago, there would have been scope for adding international students," Professor Norton said. "But as it's turned out, it's coincided with a policy decision to reduce international student numbers."
Minister for State Development Chris Picton said that the state government shared the concerns of Adelaide University about the crackdown on international students, noting that it was South Australia's second-largest export industry.
"It's not something you would want to turn off the tap for," Mr. Picton said. "It's a bit like if you were trying to damage the mining industry, people would think you're crazy for doing that. Why are we trying to do the same thing for international education?"