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LCQ14: Student financial assistance schemes

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Following is a question by the Hon Frederick Fung and a written reply by the Secretary for Education and Manpower, Professor Arthur K C Li, at the Legislative Council today (November 3):

Question :

Regarding the full-time degree, sub-degree and higher diploma programmes operated on a self-financing basis by University Grants Committee ("UGC")-funded tertiary institutions, will the Government inform this Council whether it knows, in respect of each of the past three academic years:

(a) the respective numbers of such programmes at various academic levels operated by each UGC-funded institution, and their respective percentages in the total number of programmes provided by respective institutions at the corresponding academic levels;

(b) the number of students enrolled in such programmes operated by each UGC-funded institution, and the respective numbers and percentages of such students who received financial assistance under various student financial assistance schemes; and

(c) in relation to each of the student financial assistance schemes, the number of recipients who, after graduation from these programmes, have:

(i) defaulted in repayment of loans, and the average amount of loans defaulted; and

(ii) applied for deferment of loan repayment, together with a breakdown of such applications by the justifications provided?

Reply:

Madam President,

(a) The eight institutions funded by the University Grants Committee (UGC-funded institutions) may offer self-financing programmes in accordance with their governing legislation and development needs. In general, these programmes are provided by departments and faculties, continuing education and professional development arms and extension arms etc. of the institutions.

In the past three academic years, the number of full-time self-financing programmes mentioned above, and this as a percentage of the total number of programmes provided by respective institutions, are summarised at Annex I.

(b) Students who pursue full-time accredited post-secondary programmes which operate on a self-financing basis and lead to qualifications at associate degree, higher diploma and/or professional diploma or above levels are eligible for financial assistance under the Financial Assistance Scheme for Post-secondary Students (FASP) and the Non-means Tested Loan Scheme for Post-secondary Students (NLSPS). The FASP provides assistance in the form of grants and low-interest loans.

Details of the above financial assistance offered to students of the UGC-funded institutions and their self-financing education arms are listed at Annex II and Annex III.

(c) (i) Loans under both FASP and NLSPS are repaid in quarters commencing upon graduation or termination of studies. Default cases arise when a student fails to repay two or more consecutive instalments.

Since FASP and NLSPS were introduced in the 2001/02 academic year, there was no default case in that year. In the academic years 2002/03 and 2003/04, the number of defaulters and the average amount of loans defaulted are set out at Annex IV.

(ii) The Student Financial Assistance Agency considers each application for deferred loan repayment on its own merits. Approval for deferred repayment may be granted on grounds of further studies, financial hardship or serious illness. Applications have to be substantiated by valid documentary proof.

Since FASP and NLSPS were introduced in the 2001/02 academic year, there was no application for deferred loan repayment in that year. In the academic years 2002/03 and 2003/04, the details of deferred loan repayment cases are listed at Annex V.

Ends/Wednesday, November 3, 2004

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