Speaking at the AFR Higher Education Summit on August 19, Clare defended his advocacy for a “managed system” for overseas education, saying he has no regrets about the decision.
Weeks after the Australian government proposed an increase to its National Planning Level (NPL) for 2026—currently slated at 270,000 new international student places—Clare attended the conference in Sydney. In minor adjustments to what some have referred to as a “de facto cap” on overseas student enrollments, this will rise to 295,000 the following year.
Each institution is allotted a certain number of New Overseas Student Commencements (NOSCs) under the scheme. Priority is given to study visas for each school until they have 80% of their NOSC allotment, at which point the processing of visas slows down.
“Resetting the system was our goal last year, and what we accomplished was letting colleges know that we would be controlling their student population. It’s not a hard cap in the sense that it stops when you hit the number,” clarified Clare.
“However, Julian [Hill] and the crew can expedite people to 80% thanks to Ministerial Direction 111, after which things proceed as usual. Thus, although some universities are beneath it, others are above it. I believe that most universities are at or slightly above it. We will hit 270[k] because VET is a little down,” explained Clare.
The newly established Australian Tertiary Education Committee (ATEC), which is presently functioning in an interim capacity, will work university by university to make sure institutions meet—but do not surpass—their 2027 student allocations, the minister said.
“The ATEC team will be able to help ensure that universities meet but do not surpass those numbers in 2027 through the compacts that they design with each university.“
During a recent webinar, the Department of Education provided data to providers that indicated the number of international students is approaching the 270,000 total NPL for 2025. However, there are variations among sectors.
The percentage of NOSCs that have started their studies as of August 1, 2025, is 77% of all NPLs. VET is at 60% and higher education is at 83%.
The department also reported that 96% of all non-performing loans are suggestive NOSCs, which include students who have not yet started their courses. VET is at 79% while higher education is at 105%.
Additionally, about 259 providers had achieved their MD 111 prioritization criterion (80% of their allotment) as of August 1, 2025. This comprises:
- 26 of 38 public universities
- five of 16 TAFEs
- 75 of 140 other higher education/dual sector providers
- 153 of 977 VET providers (including 128/762 providers with allocations of 100 NOSCs or less)
According to Clare, the government’s commitment to integrating growth into the system “in a managed way” is demonstrated by the additional 25,000 international student slots for 2026.
The ATEC team will be able to assist in ensuring that colleges meet but do not beyond those figures in 2027 through the compacts they create with each university.
Jason Clare, education minister
“I think that teaching Australian students is the primary and most significant duty of universities. I also don’t deny that. However, I have also consistently stressed the importance of foreign education.“
“It contributes significantly to the nation’s finances in addition to providing revenue for institutions. More significantly, it fosters friendships between us because when international students visit Australia and fall in love, they bring that love and affection back home. That is a powerhouse in diplomacy.”
The minister also highlighted opportunities in Transnational Education (TNE), stressing that international education “is not just a one-way street”.
“There’s an opportunity for universities to spread their wings and set up campuses or to educate people in the country as well.”
Citing RMIT’s twinning degree with BITS Pilani as a “classic example” of what Australian providers should be doing more of, Clare urged stakeholders to look beyond branch campuses.
