The University Grants Committee says the eight institutions it funds have secured close to $1.9 billion in donations under the second matching grant scheme.

Committee chairman Dr Alice Lam said the great success of the second scheme confirms the introduction of matching grants has not only brought additional resources for the institutions, but also promoted a philanthropic culture in the community.

"This will be beneficial to the long-term development of the higher education sector in Hong Kong," she said.

Dr Lam thanked the Government and all the donors for making the second scheme possible, adding the institutions appreciate working with the community to take higher education to the next level.

The scheme was first launched in July 2003 with $1-billion allocation by the Government to award matching grants to UGC-funded institutions which succeeded in securing donations for activities within the ambit of UGC recurrent grants. The eight institutions secured more than $1.3 billion in donations, and the $1 billion matching grant was allocated in full.

The Government allocated another $1 billion for launching the second scheme in August last year. Relaxations were introduced to facilitate two significant developments in the higher education sector, namely internationalisation and campus development of the institutions.

The matching grant was disbursed on a dollar-for-dollar matching basis up to $45 million, beyond which $1 was granted for every $2 donation, up to a ceiling of $250 million of grant.