A review of the mechanism for working out the grant-loan for undergraduate students has been launched by the Student Financial Assistance Agency (SFAA).
The agency is tendering for private consultants to design and conduct the one-year review after the Joint Committee on Student Finance backed the move last month.
SFAA deputy controller Peter Ho Kui-keung said: 'We are introducing this new system because we want to make sure that the grant-loan level meets students' basic needs in terms of academic and living expenses.
'Previously our office conducted a student expenditure survey at intervals of about 10 years. Some members of the committee considered this unsatisfactory because it is tedious and time-consuming.
'The consultant is expected to establish a viable, simple and sustainable mechanism for determining and adjusting the level of financial assistance under the local student finance scheme.'
The previous surveys had monitored only each student's expenditure for a two-week period which may not have reflected the full amount of their essential spending.