The statistics from the Organisation for Economic Co-operation and Development show there has been 46.6 percent increase in the number of people becoming Australian citizens.
About 123,400 applied to become Australian citizens in 2012-13, the highest number since 2011-12, the International Migration Outlook report said.
Australia's Migration Programme has also seen a significant increase, with 40,100 India citizens applying to migrate during 2012-13, while China had 27,300 applications and the UK had 21,700, media reported.
"There is a growing trend of Indian and Chinese citizens seeking citizenship in Australia for greater global movement," migration Law expert Sharon Harris said.
"India and China is without any doubt the most prolific source countries for pursuing visas and ultimately citizenship," she said. With an Australia passport, this opens up greater travel access globally.

Harris further said that the change in governments was particularly popular with Chinese citizens, who were attracted to the Abbott government.
"With the change of government they have more confidence in a stable political environment," Harris said. The report further disclosed that 62,700 people whose temporary visas had expired or had been cancelled were living illegally in Australia. sands of others were displaced.

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