Australia’s net overseas migration (NOM) for the 2024-25 financial year fell to 305,600, a three-year low that nonetheless supports ongoing population growth.

Despite the slower pace of arrivals, migration remains a major driver of growth, with net overseas migration accounting for about 61% of the June-quarter population increase and roughly 84% of Australia’s 1.6 million population gain since the 2022 election.

Some critics argue the migration surge has fueled social division and wealth disparity, estimating unmanaged mass migration added about 1.27 million people over the past three years.

Net overseas migration declined by 124,000 from the prior year, marking the second consecutive annual drop since the 2022-23 peak.

Net migrant arrivals are about 3% higher than in 2018-2019, while net departures are roughly 15% lower.

The budget update plans to raise an extra $740 million from higher visa charges for primary students and student guardians.

Migrant departures rose to 263,000 in 2024-25, up from 232,000 the previous year.

Migration remains above mid-year forecasts (305,600 actual vs 260,000 expected) and contrasts with Canada’s population changes amid policy shifts.

In the June quarter, NOM rose by 50,120, the smallest quarterly increase since the pandemic lull in 2021.

Forecasts project NOM at about 310,000 for the year to June 2026, modestly above March expectations but above May’s view of 260,000.

The decline in new migrants was driven by a 14% drop in new arrivals, especially temporary visa holders, alongside a 13% rise in departures.

Since 2022, roughly 1.3 million people have arrived from overseas under the current government, composing about 84% of the population increase.