Officials can deny immigrants green cards on the basis of public benefits used, under the rule.

According to the new rule, green cards would be denied if those seeking it cannot convince the consular officer that they will never use programs that the US government doles out for its citizens.

White House Deputy Chief of Staff emphasised that there is need to carry on reforms in H-1B to keep more talented graduates in this country.

The President's comments came amid tension over a caravan of an estimated 5,000 to 7,000 people, mostly from three Latin American countries, currently marching towards the southern US border of Mexico with the intention to enter the US.

Trump has earlier derided the concept of birthright citizenship, and even used the term "anchor baby" to describe a child born of parents who are illegally in the US.