This article is from the Australian Property Journal archive
THE ongoing return of international students is supporting Victoria’s economic recovery, with Melbourne ranking fifth in the QS Best Student Cities index.
According to data from the department of Home Affairs, the number of student visa holders in Victoria has more than doubled since international borders reopened in December 2021, at 141,000.
The 107% recovery of onshore international students in the state is led by China, India, Vietnam, Nepal and Colombia.
“We’re a welcoming state and it’s great to see large numbers of students from all around the world back in Melbourne and regional Victoria – they make us a more vibrant community,” said Tim Pallas, minister for trade and investment, who visited the Study Melbourne Hub in Hardware Lane to hand out welcome bags to students.
Study Melbourne provides international students across Victoria with free legal advice on employment and accommodation matters and confidential 24-hour, seven-day assistance.
Melbourne has been listed in the QS Best Student Cities index for the last eight years.
In 2023, the city has moved up on the index, which is based on affordability, quality of life, standard of universities and diversity, ranking fifth behind London, Munich, Seoul and Zurich.
International education is Victoria’s third largest export earner, behind just food and fibre and manufacturing, supporting more than 40,000 jobs and generating $6.9 billion in export revenue in 2021.
“International education supports tens of thousands of Victorian jobs and is a vital part of our economy – that’s why we are so serious about supporting the sector and its growth,” added Pallas.
The recovery of international students in Australia is also set to support the purpose-built student accommodation sector and retail spending across the country.
In 2022, the state government established its International Education Recovery Plan 2025, with $53 million in funding for initiatives such as the expansion of Victoria’s Global Education Network to 19 locations and extra resources in Colombia, Korea, Japan and Vietnam.
“Students are attracted by our outstanding universities, TAFEs and colleges. We’ve backed our higher education institutions and it’s fantastic to see their excellence recognised by students from around the globe,” concluded Gayle Tierney, minister for higher education.
Whilst the return of international students is a welcome for the CBD retail economy, it continues to put pressure on Melbourne’s rental market.
The latest SQM Research data shows Melbourne’s vacancy rate declined from 1.2% in January to 1.1% in February with only 5,545 rental properties available, compared to 2.8% a year ago.
