Temporary immigration booming

Advertisement
ScreenHunter_07 Mar. 19 12.02

By Leith van Onselen

The Australian Bureau of Statistics (ABS) today released visitor arrivals and departures data for the month of April, which revealed surging net temporary migration into Australia, but falling net permanent migration.

In the year to April 2013, there were 673,630 permanent and long-term arrivals into Australia, partly offset by 369,460 permanent and long-term departures from Australia (see next chart).

ScreenHunter_25 Jun. 04 12.36
Advertisement

There were 304,170 net permanent and long-term arrivals into Australia in the year to April 2013, representing a 52% increase from the January 2011 trough and more than double the long-run average (see next chart).

ScreenHunter_26 Jun. 04 12.38

However, while overall net long-term arrivals are booming, it is a different story for permanent migration. In the year to April 2013, permanent arrivals fell by -2% to 151,790, whereas permanent departures rose 3% to their highest ever level of 90,660 (see next chart).

Advertisement
ScreenHunter_27 Jun. 04 12.42

In fact, net permanent arrivals into Australia fell for the eighth consecutive month and are now tracking -8% below the long-run average (see next chart).

ScreenHunter_29 Jun. 04 12.44
Advertisement

Clearly, much of the recent immigration into Australia has been temporary. That said, according to the Department of Immigration, around 30% of workers on 457 visas end up becoming permanent residents.

[email protected]

www.twitter.com/Leithvo

About the author
Leith van Onselen is Chief Economist at the MB Fund and MB Super. He is also a co-founder of MacroBusiness. Leith has previously worked at the Australian Treasury, Victorian Treasury and Goldman Sachs.