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"The reduction in unit cost will also have a positive effect on tuition fees. This reflects Government's continuing commitment towards the further development of tertiary education in Hong Kong," Mr Wong said.
To tackle the problem of deteriorating language proficiency, the Government has accepted the UGC's recommendation that institutions should adhere strictly to their published minimum entry requirements for language standards.
"The Government has also proposed that with effect from the 1998 intakes, public funding of places filled by those students who failed the Use of English and Chinese Advanced Supplementary Level examinations will be withheld.
"This would complement the Government's efforts to enhance language training in the school sector which includes the provision of intensive English courses for Secondary 6/7 students," Mr Wong said.
Mr Wong stressed that this proposal would not infringe on the autonomy of the institutions because this was primarily aimed at the students.
"Indeed, the institutions are free to admit any students who fail to meet the minimum language requirements if they are satisfied that there are exceptionally good reasons for doing so. For example, these students have marginally failed their language examination but have scored excellent results in the subject examination concerned," he explained.
In response to the recent call from the Vice-Chancellors of the Universities for an extension of the undergraduate courses from three to four years, Mr Wong noted that the UGC has advised that for the great majority of students, the present three- year-course would continue to satisfy both the "general" and "specific" needs of undergraduate education.
"The UGC has also recommended that the normal length of undergraduate courses should remain at three years, following two years of sixth form study at least for the foreseeable future.
"In the meantime, the Government will seek to improve the quality of school education and liaison between schools and universities regarding the aims, objectives and relevancy of school education for students who should undergo an effective transition to higher education," Mr Wong added.