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In October 1997, the Chief Executive announced in his Policy Address the establishment of the Quality Education Fund (QEF) to finance projects for the promotion of quality education in Hong Kong. The establishment of the QEF is one of the major recommendations of the Education Commission Report No.7 (ECR7). Formally established on 2 January 1998 with an allocation of $5 billion, the QEF provides an effective channel for worthwhile projects from the school education sector to be funded.
The QEF mainly caters for worthwhile non-profit making initiatives within the ambit of school education, i.e. kindergarten, primary, secondary and special education.