To increase the competitiveness of local talent, investment into education, training and retraining will be enhanced, Financial Secretary Henry Tang says.

In his 2006 Budget speech today, Mr Tang said Hong Kong must attract more outside undergraduates to study in local tertiary institutions on exchange programmes. It will give exchange students a deeper understanding of Hong Kong and the Mainland, and in return Hong Kong students on exchange will benefit from the experience of learning and living abroad.

"The Secretary for Education & Manpower will consider how to attract more full-time tertiary students from abroad. To produce all-round tertiary students, hostel life is an important part of higher education," he said.

More hostel places

Mr Tang proposed to provide 1,800 additional hostel places, costing roughly $350 million, to meet accommodation needs of local and exchange students and increase the attractiveness of Hong Kong's institutions as centres for exchange activities.

"In a globalised economy, places which can pool the most talent are the most successful. We must nurture and attract the best talent to maintain our competitive edge," Mr Tang said. "We must make a greater effort to recruit overseas and Mainland talent who have made a mark in their chosen professions."

He said the Quality Migrant Scheme will attract such talent. Applicants will be required to meet certain eligibility criteria in respect of academic attainment, professional qualifications and work experience, but without needing to have secured prior employment.

The Government will assess applications in accordance with an objective marking scheme. It will have a quota of 1,000 entrants a year. Successful applicants will be allowed to enter Hong Kong and stay for one year, accompanied by their spouses and children. The Secretary for Security will shortly announce further details, Mr Tang said.