ENTRY requirements for foreign students will be relaxed and short-term visas will be available for those who wish to work after completing their university studies in an overhaul intended to revive the tertiary sector announced yesterday.

The government response to Michael Knight's report, Strategic Review of the Student Visa Program 2011, aims to increase Australia's competitiveness to students whose numbers have dropped off recently due to strict visa requirements, the strong dollar and the perception of an unwelcome atmosphere.

Hitting the books ... entry requirements for foreign students will be relaxed and short-term visas will be more available. Credit:Wayne Taylor

Mr Knight's 41 recommendations will be accepted, some with amendments, said Senator Chris Evans, the Minister for Tertiary Education, and the Immigration Minister, Chris Bowen, at a joint announcement yesterday.

Mr Evans said the education sector, Australia's third largest export industry, was also a major contributor to the economy, but that the visa system and high price of the currency had made the sector uncompetitive.