Education exchange: Secretary for Education Michael Suen receives a souvenir from University of Toronto Ontario Institute for Studies in Education Dean Jade Gaskell at a breakfast seminar.

The establishment of an $18 billion fund to support research and development activities at tertiary institutions will open new areas for co-operation between Hong Kong and Canada, Secretary for Education Michael Suen says.

Speaking at a breakfast seminar in Toronto yesterday Mr Suen said Hong Kong and Canada already enjoy sound educational ties, adding there is room for improvement.

Hong Kong's education institutions have student exchange arrangements with more than 30 Canadian counterparts. Of the 2,900 incoming exchange students this academic year, 231 are from Canada, while 289 Hong Kong students have gone to the country.

There are more than 200 research projects conducted between institutions in Canada and Hong Kong's high education sector, covering biological and physical sciences, engineering, IT and computer science and technology.

Mr Suen said one of Hong Kong's biggest challenges will be coping with its ageing population and low birth rate which is causing its workforce to shrink. Measures have been put in place to help raise the quality of Hong Kong's human capital in a globalised world, with opportunities open up in Hong Kong for overseas students, including those from Canada, he added.