The Australian National University and University of Canberra have resumed discussions with the ACT government on a scheme to return international students to the capital.
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It comes as modelling from the Mitchell Institute suggests the number of international students in Australia would drop by 50 per cent on 2019 levels by mid 2021 if the borders remain closed.
A pilot program to fly 350 international students to Canberra was called off in July as COVID-19 case numbers escalated in Victoria.
Chief Minister Andrew Barr said bringing overseas students back to Canberra at the appropriate time was key to the territory's economic recovery.
"We look forward to welcoming back international students to Canberra at the appropriate time to support the sector, but we will only do so in a way that manages the health and safety of the Canberra community and our international students," Mr Barr said.
"In short - if it can't be done safely, it won't be done."
He said community safety and aviation and quarantine capacity were the main impediments to restarting the pilot program.
University of Canberra Vice-Chancellor Paddy Nixon said ideally students would be able to return for the beginning of semester one, 2021.
"We want international students back. We think they add to the learning experience of our students and we think it's an important part of the cultural development of Canberra... so we're absolutely keen to do it, but we're doing it cautiously."
Professor Nixon said now the ACT election had been finalised, discussions with the territory government and ANU were able to restart.
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A spokesman for the ANU said the university had been in ongoing with the ACT and federal governments about the return of international students to Canberra and the ANU campus.
"We look forward to welcoming all our domestic and international students back to the University when it is safe to do so."
The Mitchell Institute report showed the ACT had lost about 42 per cent of its international student population between March and October. Report author Dr Peter Hurley said the ACT had been disproportionately affected because of the high number of Chinese students enrolled at the ANU.
"The impacts on broader economy are already being felt," he said.