Universities say they could safely bring international students back into the country themselves.
The Government will spend $51.6 million on New Zealand's embattled overseas education sector, as schools and universities continue to reel from the loss of foreign students.
The $5 billion foreign student industry has essentially ground to a halt after the Government closed New Zealand's borders, due to Covid-19, in March.
Victoria University Vice-Chancellor, Grant Guilford told Mike Hosking the Government should hand quarantining over to the private sector and the universities and let them get on with it.
"That way everyone's needs can be attended to, rather than relying on a very constrained government service."
Guilford says universities don't want a state handout.
"All we want is the opportunity to work with the Government to re-open the borders in a safe way, then we can manage it ourselves."