When his alarm goes off in the early hours, Kamal Hassan heads into another long day of classes. A master’s student from India, he has managed to stay on top of his finances so far. But what troubles him is not his own balance sheet, it is the strain he sees on the faces of the friends sitting next to him in lecture halls.

“People don’t really talk about it,” Kamal says. “It’s become normal to work crazy hours, skip meals, or be exhausted all the time. Everyone just pushes through. But just because it’s common doesn’t mean it’s okay.”

Canberra is now the second most expensive city in Australia, just behind Sydney. According to figures published by ANU, students are advised to budget between $615 and $730 each week to cover the basics of rent, food, utilities and transport. 

That comes to between $32,000 and $38,000 a year, and that’s before tuition fees are even factored in. Independent trackers put the average monthly expenses for a single person in Canberra at around $2,049, with rent and utilities alone swallowing more than $1,250. 

Food adds another $500 and transport about $130.

Kamal says he often notices how these numbers play out in subtle ways among his peers. Friends decline social invitations, avoid buying books, or quietly juggle multiple part-time jobs. “When someone tells you they can’t make it to a group dinner, you assume they’re busy,” he says. “But often, it’s because they literally can’t afford it. That’s the part no one wants to admit.”

Second Thought for a flat white 

Coffee, once the essential fuel of student life, is now symbolic of the wider squeeze. The national average price sits at $4.80, but forecasts suggest it could rise to as much as $8 to $12 by the end of 2025. 

Kamal says even small costs like this can isolate students socially. “If five people go for coffee and one person says no, it’s easy to think they just don’t feel like it. But sometimes it’s because that coffee is the difference between staying within budget or not.”

Housing is perhaps the biggest burden. Canberra’s rental market has been under pressure for years, and the return of international students after the pandemic has worsened the squeeze. Federal government data released in July showed that international students now occupy about seven per cent of Australia’s rental housing stock. 

For many students, that means sharing crowded flats, compromising on safety or location, or spending more than half their income on rent. 

For Karpagam, another master’s student, the financial pressure has reached a breaking point. She already works part-time, but her income barely stretches far enough to cover rent and groceries. Now she is searching for a second job. “I feel like I’m working just to survive, not to live,” she says. “If I don’t pick up more hours, I’ll fall behind on bills. But if I do, I fall behind on my studies.”

Kamal says he hears versions of Karpagam’s story from many of his friends. “A lot of people are stressed all the time,” he says. “It’s just that no one really speaks about it because it feels normal now. But I think it needs more attention.”

On campus, ANUSA, the ANU student association, has reported growing demand for food relief services and emergency grants. Students increasingly turn to free pantries or subsidised meals to make ends meet. 

The queues are a stark reminder that the image of carefree university life no longer matches the reality for many.

The government has moved to address parts of the problem. In July, it announced a $10 billion wipe of student debt, reducing average HECS-HELP balances by around $5,520. The repayment threshold was also lifted from $54,000 to $67,000, meaning graduates will not have to start paying back loans until they earn a higher income. 

But while these changes were welcomed, many students say they do little to help the immediate crisis. Debt relief eases the burden of future repayments, but does not change the reality of trying to afford rent and food today.

For Kamal and Karpagam, the cost-of-living crisis is more than a set of statistics. It is a shared reality that shapes how students study, socialise, and imagine their futures.