TNAG-2765-FCO40-3982-UK-Hong-Kong-Scholarship-Scheme-donation-to-the-UK-Governme-1993 — Page 13

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Mr Ricketts

Mr Hum

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FROM: Ros Moore

Hong Kong Department

DATE: 13 December 1993

cc:Ms Lewis, CRD

Mr Moore, HKD

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HONG KONG:

FUTURE SCHOLARSHIPS: THE PROPOSED "MANAGEMENT

TRAINING CENTRE"

Problem

We owe the Senior British Trade Commissioner a reply to his letter of 11 October, proposing that HMG should:

1.

a) contribute £250,000 capital to the proposed Management

Training Centre (MTC) in Hong Kong; and

b) set up a scholarship scheme (of £250,000 p.a. from

1996/7) for graduates from the Centre to study in the UK. More generally, how to apply the £2 million annual scholarship budget from FY 1996/7?

Recommendation

2.

I recommend that Mr Hum should write to SBTC on the lines of the attached self-explanatory draft. I further recommend that, we keep the progress of the MTC under review until we are content that funding MTC graduates to study in the UK is a viable and profitable proposition from HMG's point of view. Subject to the above, the future scholarship budget might be divided as follows:

£100,000 for a MTC scholarship scheme; (Until such time as the MTC proves its worth, the £100,000 should be used to fund FCOSAS programme);

£150,000 for a targetted FCOSAS scheme; (1996/7) £250,000 for a joint funding scheme with private sector. (1996/7)

Background and Argument

3.

Mr Cornish wrote to Mr Hum in response to a request for ideas for the redeployment of funds from the phase out of the UK/HK Joint Funding Scheme. His and Mr Smith-Laittan's (BTC) letter to John Morris (HKD) of 5 November outline the proposal for the Management Training Centre, a joint venture between the British Council and the Chiang Industrial Foundation.

(Mr Buchanan, the BC Director, also raised it with Mr Goodlad during the Minister's visit in October.)

4. The Hong Kong Government support the proposal and are confident that a suitable site can be found for the Centre, but have sought "certain assurances" on the financial feasibility of the project before a final decision is taken. The British

hum.1211.SCHOL.RM

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