Australia's permanent migration program is expected to fall to pre-2010 levels as a result of tighter vetting rules.
newspaper is reporting the intake for 2017-18 is expected to drop from the 190,000 annual cap to between 160,000 and 170,000.
Home Affairs Minister Peter Dutton has confirmed numbers would be lower this year because of tighter restrictions on the visa approval process.
Finance Minister Mathias Cormann has told Sky News, the government has been forthright with the changes.
"We've always said that this is an upper limit and we'll continue to ensure that our laws are properly administered and properly implemented, and the appropriate scrutiny is applied to ensure that we attract the right mix when it comes to permanent migration into Australia. That is nothing new. That is the way it has been under our government all the way through." The Finance Minister said.

Minister for Finance Senator Mathias Cormann (AAP Image/Mick Tsikas/via SBS News) Source: AAP Image/Mick Tsikas/via SBS News
It is understood the Department of Immigration is anticipating the number could come in as low as 160,000, which would be the lowest intake since 2007-08.