A student who is undertaking a program of studies under the following conditions:
- the student is enrolled in a course at the Australian home higher education provider;
- the Australian home Higher Education Provider (HEP) will count the program of studies as credit towards that course;
- the host Higher Education Provider is not an Australian Higher Education Provider;
- the host Higher Education Provider does not charge tuition fees to the student for the program of studies;
- there is a formal agreement between the two Higher Education Provider for the student exchange.
An Australian exchange student may be undertaking additional units of study which are extraneous to the program of studies which is the subject of the formal agreement.