Several of Hong Kong’s leading universities have welcomed a government plan to raise the quota for non-local students, a move designed to transform the city into an international education hub.

Chief Executive John Lee announced in his fourth Policy Address on Wednesday that the cap for self-financing non-local students will be lifted from 40 percent to 50 percent of local student places.

Meanwhile, the over-enrolment ceiling of self-financing places of funded research postgraduate programmes will be increased from 100 percent to 120 percent.

The President and Vice-Chancellor of the University of Hong Kong, Zhang Xiang, said the ratio change, along with the large-scale promotional campaign "Hong Kong: Your World-class Campus", will significantly enhance the international competitiveness of Hong Kong's post-secondary institutions and further boost global talent attraction.

Echoing this sentiment, Dennis Lo, head of Chinese University, said the increased quota will encourage more outstanding students to pursue their studies in the SAR.

"CUHK has long been dedicated to attracting global talent by launching innovative academic programmes, enhancing faculty quality and expanding campus facilities," he said.

"Notably, the university launched the first university-endorsed off-campus accommodation in this academic year to provide students with a suitable learning and living environment."

With the expected growth in student numbers, multiple institutions emphasised their commitment to expanding facilities.

Lingnan University said it is actively investing resources to enhance campus hardware and learning facilities.

City University said it will ensure facilities such as dormitories and classrooms can accommodate the growth.

The government has pledged to support the expansion, saying it will earmark new sites for university hostels.

The president of the Hong Kong University of Science and Technology, Nancy Ip, said the SAR must continue to enhance its academic environment and research resources to strengthen its distinctive edge amid what she described as increasingly intense global competition for talent.

Ip said Hong Kong has an advantage with its unique blend of Eastern and Western cultures, world-class academic resources and an internationally aligned curriculum.

Meanwhile, Hang Seng University offered a note of caution, saying the plan to raise the cap for self-financing non-local students is too drastic and a gradual approach would be better.

Its president, Simon Ho, suggested a thorough study of each institution's student intake capacity should first be carried out, along with improvements to related support measures. He said societal impacts should also be considered before the change is implemented.