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the MTC, how it will be run and the benefits to be secured by HMG, were we to make a financial commitment. The attached draft addresses these issues in more detail.
Proposed HMG Contribution to Management Training Centre Scholarship Scheme: £250,000, 1996/7
5.
The British Council have proposed that we should fund a scholarship scheme for MTC graduates to study in the UK costing £250,000 per annum from 1996/7. You will recall that, in securing Mr Goodlad's agreement to the phasing-out of the Joint Funding Scheme it was agreed with CRD that we would retain £0.5 million for Hong Kong scholarships in 1996/7 and beyond. Mr Goodlad approved the use of one part for an FCOSAS programme and the rest for a separate scheme matched by funds from the private sector (both schemes to commence in 1996/7). My recommendation of contributing £100,000 to a MTC scholarship scheme would allow us to support the British Council's proposal without tying our hands.
Proposed HMG Contribution to the Fit-Out Costs of the Management Training Centre: £250,000, 1995/6
6. The British Council originally proposed that HMG should buy its place on the policy board of the Management Training Centre by making a £250,000 contribution to the fit-out costs of the Centre. Since then, the SBTC has acknowledged that FCOSAS money cannot be used for capital expenditure. However, we need to establish whether the project is likely to be viable without such an investment from us.
Future Scholarship Scheme matched by Private Sector Funds: £250,000, 1996/7
7. Prompted by Mr Ricketts' letter of 7 June to Hugh Davies (then SBTC) the BTC have been considering a future scholarship scheme involving matching funds from the private sector. They envisage an HMG contribution of £350,000 matched by the private sector to the value of £700,000. At present we have £250,000 allocated for this scheme although Mr Hum has put down a marker in his 1993 TMR return for an extra £100,000 scholarship money in 1996/7. There is however no guarantee that we will get this money. I have reflected this thought in the attached draft letter to the SBTC.
8.
A longer term thought. If in due course the MTC turns into a sound proposition and good value for money, Mr Hum might even consider diverting scholarship funds from another area in his command for this purpose.
9. CRD concur.
R8Mer
RS Moore
scholar.PR.JRB
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