Kick-off meeting on establishment of new medical school held today
The Secretary for Health, Professor Lo Chung-mau, and the Secretary for Education, Dr Choi Yuk-lin, co-chaired a meeting today (December 4) to receive a briefing from the President of the Hong Kong University of Science and Technology (HKUST), Professor Nancy Ip, and her team on the next steps for implementing the establishment of the new medical school. Government representatives attending the meeting were from the Health Bureau, the Education Bureau, the Innovation, Technology and Industry Bureau, theDevelopment Bureau, the Department of Health, the Hospital Authority, theUniversity Grants Committee Secretariat, and thePrimary Health Commission.
The Government earlier announced that the Chief Executive in Council (CE-in-Council) had approved in principle that the new medical school to be established by the HKUST, marking a new phase in the preparatory work for the new medical school. The Task Group on New Medical School will support and closely monitor the work in the implementation stage to ensure that the HKUST achieves the set milestones in a progressive manner. Working groups will be set up under the Task Group to provide advice and support in areas such as curriculum development, financial and financing arrangements, staffing, campus development, and teaching hospital arrangements, and experts with relevant experience in the respective fields will be invited to participate in the work of the working groups. The Government will require the HKUST to regularly report progress to and seek views from the working groups and report to the Task Group as necessary.
Professor Lo said, "At today's meeting, we exchanged views on the overall work direction for the implementation stage of establishing the medical school. We support the HKUST to push forward various preparatory tasks, and the Task Group will regularly meet with the university representatives starting from the first quarter of next year to understand the progress. The Government expects to officially sign a Memorandum of Understanding with the HKUST early next year, the content of which will cover funding arrangements, curriculum accreditation, teaching hospital resources, as well as recruitment of teaching staff, and more. We expect the HKUST to fully co-operate with the Task Group and its working groups on the preparatory work."
Dr Choi said, "The establishment of the new medical school is expected to play a leading role in shaping innovative approaches to medical education by embracing interdisciplinary learning, advancing scientific research development, and attracting both local and international talent, to dovetail with the national blueprint of the 2024-2035 master plan on building China into a leading country in education and the vision of building Hong Kong into an international post-secondary education hub. We are confident that the new medical school will actively foster collaboration within the Greater Bay Area through its strategic location in the Northern Metropolis and serve as an academic and research powerhouse in the region, contributing to the development of a robust and forward-thinking healthcare workforce."
The Chief Executive announced in the 2024 Policy Address that the Government supports the establishment of the third medical school by a local university, with a view to nurturing more outstanding medical practitioners to support the local healthcare system in providing quality services, while at the same time promoting the development of Hong Kong into an international medical training, research and innovation hub. The Task Group was established in October 2024, comprising seasoned local, Mainland and overseas academics in medical education and university management, professionals, representatives from the Medical Council of Hong Kong (MCHK) and the Hong Kong Academy of Medicine, as well as representatives from the relevant government bureaux and departments. It is responsible for inviting universities to submit proposals and conducting assessments, making recommendations to the CE-in-Council, and maintaining communication with the university selected to establish the new medical school on the implementation plan. In November this year, the CE-in-Council approved the establishment of the third medical school and gave approval-in-principle for the new medical school to be established by the HKUST, which shall aim to admit the first cohort of 50 students in the 2028/29 academic year. The HKUST must obtain in-principle approval from the MCHK for the accreditation of its medical curriculum before the commencement of student admission.
HKUST, Photo source: online image
LegCo Secretariat releases Research Brief on "The 2026-2027 Budget"
The following is issued on behalf of the Legislative Council Secretariat:
The Financial Secretary (FS) presented the fourth Budget of the current-term Government on February 25. The Legislative Council Secretariat (the Secretariat) today (April 2) released a Research Brief on "The 2026-2027 Budget".
Supported by strong stock-trading stamp duty income and bond issuance, total government revenue soared by 21.9per cent year-on-year to HK$688.8 billion in the 2025-2026 fiscal year (see Annex 1). With a HK$2.9 billion surplus for the Consolidated Account, Hong Kong recorded a fiscal surplus for the first time after three consecutive years of deficits. While this arrived three years earlier than the Government projected, when excluding net bond proceeds, the underlying deficit remained at HK$100.4 billion. This equates to 3per cent of Gross Domestic Product (GDP), which is still below the average (4.6 per cent) of the 37 advanced economies tracked by the International Monetary Fund.
The Research Brief examined the Government's near-term fiscal position and the reinforced fiscal consolidation programme already implemented, as well as analysing the fiscal space for expanded bond issuance. The Research Brief pointed out that total public expenditure grew 5.4per cent to HK$844.2 billion. This is estimated to rise a further 7.2per cent to HK$904.7 billion in this fiscal year. Driven mainly by an ageing population, health and social welfare remain the largest spending areas, with infrastructure replacing education as the third-largest (see Annex 2). Over the past five years, infrastructure expenditure has surged by over 40 per cent. As Northern Metropolis-related (NM) projects are rolled out progressively, capital works expenditure is expected to average around HK$120 billion per annum over the next five years.
As part of the fiscal consolidation programme in the 2026-2027 fiscal year (see Annex 3), FS proposed transferring HK$150 billion of the Exchange Fund's (EF) investment income to finance the development of NM and other infrastructure projects. This withdrawal, which is the first in 42 years, has drawn considerable debate. Some argue that it could undermine the EF's capacity in preserving Hong Kong's financial stability, and question whether such a drawdown might become a "regular practice". Others, however, regard this proposal as an "innovative" measure that is "safer" than expanding bond issuance.
Meanwhile, FS also proposed raising the bond issuance ceiling from HK$700 billion to HK$900 billion, with a greater share of longer-term bonds. The Research Brief noted that concerns over the trajectory of government debt persist, given mounting repayment pressure on the bonds issued in recent years. Net bond proceeds are projected to be compressed by 43.3 per cent between 2026-2027 and 2030-2031 fiscal years, and the gross government-debt-to-GDP ratio is expected to increase to 19.9 per cent. However, this ratio remains far below the average of advanced economies (see Annex 4), and interest expenses amount to just 1.2per cent of government revenue. As reflected in a range of key financial indicators, Hong Kong's fiscal position remains resilient by international standards and its creditworthiness continues to rank among the strongest of any major advanced economy.
The Research Brief also suggested that as the Government moderates expenditure growth to restore fiscal balance, the recovery of the private sector will be key to sustaining economic growth momentum. To actively support and proactively align with the National 15th Five-Year Plan, Hong Kong is formulating the first-ever Five-Year Plan, which could provide a framework for sequencing public investment commitments alongside the fiscal consolidation timetable.
On long-term fiscal health, the Research Brief pointed out that population ageing, low fertility and the impact that AI will bring to the labour market could further strain public finances. Despite the pro-natalist measures introduced by the Government, registered births fell to a record low in 2025. The Research Brief compared the pro-natalist policies in Hong Kong with those in selected advanced economies in Asia and Europe, noting that effective responses require early, sustained and comprehensive intervention, rather than relying primarily on financial incentives. International experience points to facilitating workforce transition as crucial to safeguarding the tax base. As profits tax and salaries tax account for a large share of the Government's recurrent revenue, the ability to steer workforce towards high complementarity with AI has direct implications for the tax base. The Research Brief observed that the upgrading of the Employees Retraining Board into Upskill Hong Kong with a mandate to provide skill-based training, specifically incorporating AI applications, is a timely policy response.
The Legislative Council (LegCo) will resume the Second Reading debate on the Appropriation Bill 2026 at its meeting of April 22 and Members will speak on the Bill.
The Research Brief is prepared by the Secretariat's Research Office of the Research and Information Division with a view to enhancing information support for Members. The Research Brief is now available on LegCo website: app7.legco.gov.hk/rpdb/en/uploads/2026/RB/RB01_2026_20260402_en.pdf.
Source: AI-found images
