Monk was a shock appointment last week after the Swans axed Michael Laudrup, with the 34-year-old taking on the role of interim player-manager.
With Tim Sherwood surprisingly named as Tottenham boss in December, Hughes would like to think club owners are recognising British is again best.
With Hughes' City due to face Monk and Swansea at the Britannia Stadium on Wednesday, the Welshman said: "British coaches have invested time and money, and no little effort, to get qualified in badges and whatever.
"But a lot of good people have been getting passed over. When foreign managers get positions they bring in their own staff, so there are less opportunities for British coaching.
"But in my view British coaching is very good, and in a lot of aspects we are probably ahead of the game, ahead of the so-called big nations in terms of coaching.
"So when a young aspiring coach gets an opportunity I feel it's a good thing.
"It was a similar situation with Tim Sherwood at Tottenham as well.
"Maybe that's what is happening at the moment, that people are recognising the quality of the people they have in their building rather than going outside, and I think that's a good thing.
"With Garry, he has been at the club a long time and that's probably why the club felt it was the right decision for them given the circumstances they found themselves in.
"He's club captain, has been there a long time, and maybe understood where the club and chairman felt Swansea sat in terms of football."
Monk made a stunning start to his managerial career with a 3-0 south Wales derby victory over Cardiff on Saturday that elevated the club up to 10th, one point above Stoke.
Whilst delighted for Monk, Hughes has warned him the job will be an uphill struggle
"He's got an opportunity and has made a great start," added Hughes.
"Clearly Swansea wanted a new manager bounce and that's exactly what they got. The players seem to want him to do well.
"It's similar to the situation I found myself in when I got the Wales job as I had just come from being a player and I sensed the players wanted me to succeed.
"But my bit of advice to him is that it becomes more difficult the longer you are in the game.
"It is difficult. I know when I got my first managerial role it is a huge mindshift from being a player.
"You go from worrying about when your kit's going to turn up to 25 professional footballers who want to know what you want from them.
"Even with him being captain, from that to manager, it's a huge shift, not only in the way you think, but the way you act and the messages you have to get out there."
Despite Monk's young age in managerial terms, he and Hughes have crossed paths before, as the latter recollected.
"I was reminiscing that I was a Southampton player (1998-2000) when Garry was making his way as a young player there," said Hughes.
"I remember him during those days, beginning his playing career, and now we meet at the start of his managerial career.
"I hope he succeeds - but I won't be wishing him too much good fortune tomorrow!
"We just have to see to it that instead of a new manager bounce they get a new manager bump, and a crash hopefully. That will be our intention."
Hughes is likely to be without strikers Marko Arnautovic (ankle) and Oussama Assaidi (hamstring), along with centre-back Robert Huth (knee), but Marc Wilson is poised to return after illness.