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EDUCATION
Code, is a deficiency grant which enables schools to keep their fees low and to pay teachers the same salaries as government and grant school teachers of the same grade. The schools are assisted when necessary by free grants of land and building subsidies, and are eligible for interest-free loans for new buildings if their sponsor- ing bodies are incorporated. Although an urban subsidized school is usually bigger than a rural one, more than half such primary schools are in the New Territories, serving small, scattered villages as well as the more thickly populated areas. When a rural school is needed (or an extension to an existing one) the villagers approach the District Officer, who helps them to seek the Director of Education's approval for their plans. A building subsidy and recurrent subsidy are generally given. Usually capital subsidies are 50 per cent of the total cost of the school, but for many small village schools where the local inhabitants are unable to raise the required half a larger percentage subsidy may be given. There are 219 subsidized schools in urban areas and 285 in the New
Territories.
Private Schools range from kindergarten through primary and secondary to post-secondary. In most cases private technical and commercial schools aim at short, intensive courses: Fees are generally much higher than those in other schools. Two measures introduced in 1960 assist private, non-profit-making schools. The period of repayment of loans by schools of this kind was extended to 21 years, subject to interest being charged at 34 per cent per annum. Schools already in receipt of interest-free loans repayable over 11 years were given the choice of adopting these new terms for the outstanding balance of their loans. Direct government assistance is also given to selected non-profit-making schools in the form of assistance in the payment of the salary of qualified teachers and an allowance based on the number of classrooms in use. Students in such schools and in certain other private secondary schools, who have been selected for entry on the results of the secondary school entrance examination, have also been assisted by having their fees paid in whole or in part. The assistance payable is equal to the difference between the approved fee of the school and the fee that would be charged in a comparable government school.
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