Government Budget Allocations for R&D: Investing in the Future
Statistics on Government Budget Allocations for R&D (GBARD) provide crucial data on government support for research and development (R&D) activities. R&D, which encompasses “creative and systematic work undertaken on a project basis in order to acquire new knowledge and to invent new products, processes and services,” is a vital driver of economic growth and innovation.
In the recent document, Political Guidelines for the next European Commission 2024-2029, investment in R&D is prominently positioned as a central focus for the EU’s economy. The guidelines emphasize the need to increase research spending to prioritize strategic areas and position Europe as a leader in emerging science, technology, and industry.
GBARD encompasses a broad range of government-financed R&D activities, including those conducted in government establishments, as well as those supported within business enterprises, higher education institutions, and private non-profit sectors.
In 2023, the total provisional government budget allocations for R&D across the EU amounted to €123 557 million, representing 0.72% of GDP.
Latvia’s R&D spending in 2023 was €118 million, significantly higher than the €32 million allocated in 2013. This marked a doubling of R&D spending as a percentage of GDP from 0.15% to 0.30%. However, despite this significant increase, Latvia still lags behind some of its European counterparts in terms of R&D investment per capita.
Luxembourg led the EU in R&D budget allocations per person with €765.3, followed by Denmark (€552.4) and Germany (€522.6). Conversely, Hungary (€64.1), Latvia (€62.7), Bulgaria (€33.1), and Romania (€25.9) had the lowest R&D budget allocations per person.
R&D spending in EU 2013-2023
Photo: Eurostat
These figures underscore the importance of continued investment in R&D across the EU. Boosting R&D expenditure is crucial for driving innovation, fostering technological advancement, and ensuring Europe’s competitiveness in the global economy.
Do you have any thoughts or insights on how to further promote R&D investment in your region? Share your ideas in the comments below!