GLOBAL INVESTMENTS IN R&D

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1 Americas North America United States Europe Asia European Union Japan Germany N.I.E. Asia China L.A.C. C.I.S. Europe C.E.O. Europe India Oceania Israel Africa Other in Asia Mexico Arab States (Africa) South Africa Other Sub-Saharan Arab States (Asia) Argentina Egypt C.I.S. Asia 4.8% 3.8% 3.8% 3.9% 3.4% 3.2% 2.8% % 2.1% 2.6% 2.9% 2.3% % x 1.4% 0.8% 0.7% 0.6% 7.2% 6.4% 6.6% % 6.2% % 13.7% 12.8% 10.7% 12.1% % 35.8% 37.7% 34.5% 32.7% 35.2% 32.3% 30.6% % 28.5% 27.2% % 23.5% 23.5% GLOBAL INVESTMENTS IN R&D UIS FACT SHEET DECEMBER 2012, No.22 This fact sheet presents the latest UIS S&T data available as of October A SNAPSHOT OF R&D EXPENDITURE The most commonly used indicators to monitor resources devoted to R&D worldwide are gross domestic expenditure on R&D (GERD) expressed in PPP$ and R&D intensity (percentage of gross domestic product (GDP) devoted to R&D activities). The information presented here illustrates global and regional trends in the allocation of R&D resources. The UIS releases data on resources devoted to R&D twice every year in August and December. For developing countries, however, data are collected on a biennial basis. Figure 1 presents the distribution of R&D expenditure in the world by main regions/countries in terms of gross domestic expenditure on R&D (GERD). FIGURE 1. WHERE ARE R&D INVESTMENTS MADE? SHARES OF WORLD R&D EXPENDITURE (GERD) BY PRINCIPAL REGIONS/COUNTRIES, 2002, 2007 AND 2009 (%) 45% % 25% 2 15% 1 5% Note: x = Data not available (chart symbol). Source: UNESCO Institute for Statistics estimates, December 2011.

2 Israel Japan Germany United States-1 North America Oceania Americas European Union N.I.E. Asia World Europe China Asia C.E.O. Europe C.I.S. Europe South Africa-1 India-2 L.A.C. Argentina Other in Asia Africa Mexico Arab States (Africa) Other Sub-Saharan C.I.S. Asia Egypt Arab States (Asia) 0.8% 0.7% 0.6% 1.4% 1.3% 1.2% 1.2% 2.2% 2.2% 2.1% 1.6% 2.8% 2.8% 2.7% 3.4% 4.3% 2 UIS/FS/2012/22 Figure 2 illustrates the distribution of R&D intensity in main regions/countries. This indicator reflects R&D intensity by presenting R&D expenditure relative to the size of the regional or national economy. FIGURE 2. WHICH REGIONS ARE MOST R&D INTENSIVE? GROSS DOMESTIC EXPENDITURE ON R&D AS A PERCENTAGE OF GDP BY PRINCIPAL REGIONS/COUNTRIES, 2009 OR LATEST YEAR AVAILABLE 4.5% % % % Note: -1 = 2008, -2 = Source: UNESCO Institute for Statistics estimates, December FIGURE 3. A SNAP-SHOT OF R&D INTENSITY GROSS DOMESTIC EXPENDITURE ON R&D AS A PERCENTAGE OF GDP, 2010 OR LATEST AVAILABLE YEAR % 0.26% % % % and above Data not available

3 UIS/FS/2012/22 3 Figure 3 illustrates the percentage of GDP devoted to R&D activities. This indicator reflects national R&D intensity by presenting gross domestic R&D expenditure relative to the size of the national economy. The 2009 regional averages are: 2.7% for North America; 0.7% for Latin America and the Caribbean; for Europe; for Africa; 1.6% for Asia; and 2.2% for Oceania. Figure 4 illustrates the world s top leaders in R&D expenditure, measured in US dollars at purchasing power parity (PPP$) for the latest year available. PPP$ better reflects the real value of investments and allows for more comparability by eliminating differences in price levels among countries. Essentially, this means that a sum of money converted into US dollars at PPP rates will buy the same basket of goods and services in all countries. FIGURE 4. WORLD S TOP 10 LEADERS IN R&D INVESTMENT GERD ( 000, PPP$), 2010 OR LATEST AVAILABLE YEAR 50,015,705 32,789,695 39,157,354 25,340,179 24,305, ,576,000 53,184,858 86,252, ,500, ,305,472 United States-1 China-1 Japan-1 Germany Rep. of Korea India-3 Note: -1 = 2009, -3= 2007.

4 Switzerland-2 Germany-1 Finland Luxembourg Denmark Sweden-1 Belgium-1 Slovenia Malta Ireland-1 Iceland-2 Czech Republic Hungary Netherlands-1 Turkey Austria+1 Italy-1 Portugal-1 Norway-1 Estonia Spain-1 Latvia Croatia Slovakia Romania Greece-5 Bulgaria-1 Belarus-1 Ukraine-1 Poland Lithuania Cyprus-1 Serbia-1 Macedonia (FYR)-8 Albania-2 Rep. of Moldova-1 United States-1 Canada-2 Chile-2 Mexico-1 Uruguay-1 Costa Rica-1 Colombia Argentina-1 Cuba Ecuador-2 Panama El Salvador-1 Bolivia-1 Paraguay-2 Guatemala-1 4 UIS/FS/2012/22 WHICH SECTORS INVEST THE MOST IN R&D? Figures 5, 6 and 7 illustrate R&D expenditure broken down by source of funds (%). This refers to total gross intramural expenditure on R&D during a given period, financed by different sectors of the economy (business enterprise, government, higher education, or private non-profit organizations) or from abroad, and expressed as a percentage. FIGURE 5. FUNDING IN THE AMERICAS GERD BY SOURCE OF FUNDS, 2010 OR LATEST AVAILABLE YEAR Business enterprise Government Higher education Private non-profit Abroad Unknown FIGURE 6. FUNDING IN EUROPE GERD BY SOURCE OF FUNDS, 2010 OR LATEST AVAILABLE YEAR Business enterprise Government Higher education Private non-profit Abroad Unknown

5 United States-1 Canada Puerto Rico-1 Mexico-1 Chile-2-6 Uruguay-1 Peru-6 Costa Rica-1 Bolivia-8 Argentina-1 Colombia Ecuador-2 Trinidad & Tobago-1 Guatemala-1 Panama Paraguay-2 El Salvador-1 Ghana-3 South Africa-2 Gabon-1 Morocco-4 Tunisia-1 Kenya-3 Burkina Faso-1 Ethiopia Mali-3 Uganda-1 Senegal-2 Lesotho-1 Zambia-2 Nigeria-3 Tanzania-3 Madagascar-3 Mozambique-3 Malaysia-4 Japan-1 Rep. of Korea China-1 Philippines-3 Singapore-1 Israel-2 Kazakhstan-2 Thailand-5 Hong Kong, China-1 Kyrgyzstan-5 Lao PDR-8 India-3 Iran-2 Azerbaijan-1 Sri Lanka-2 Viet Nam-8 Indonesia-9 Mongolia-1 Macao, China-1 Kuwait-1 Brunei-6 Tajikistan-1 Pakistan-1 Armenia-1 Cambodia-8 Australia-2 New Zealand-1 UIS/FS/2012/22 5 FIGURE 7. FUNDING IN AFRICA, ASIA AND THE PACIFIC GERD BY SOURCE OF FUNDS, 2010 OR LATEST AVAILABLE YEAR Business enterprise Government Higher education Private non-profit Abroad Unknown Notes: +1 = 2011, -1 = 2009, -2 = 2008, -3 = 2007, -4 = 2006, -5 = 2005, -6 = 2004, -8 = 2002, -9 = WHICH SECTORS RECEIVE THE MOST INVESTMENT? Figures 8, 9 and 10 depict R&D expenditure broken down by sector of performance (%). This refers to total gross intramural expenditure on R&D during a given period by institutions corresponding to each sector (business enterprise, government, higher education and private non-profit organizations), independent of the source of funds and expressed as a percentage. FIGURE 8. A BREAKDOWN OF R&D INVESTMENT IN THE AMERICAS GERD BY SECTOR OF PERFORMANCE, 2010 OR LATEST AVAILABLE YEAR Business enterprise Government Higher education Private non-profit Unknown

6 South Africa-2 Sudan-5 Morocco-4 Tunisia-1 Botswana-5 Ethiopia Kenya-3 Uganda-1 Ghana-3 Mali-3 Zambia-2 Senegal-2 Seychelles-5 Mozambique-3 Burkina Faso-3 Tanzania-3 Nigeria-3 Madagascar-1 Lesotho-1 Malaysia-4 Israel Japan-1 Rep. of Korea China-1 Singapore-1 Philippines-3 Thailand-3 Hong Kong, China-1 Lao PDR-8 India-3 Kazakhstan-1 Kyrgyzstan-1 Azerbaijan-1 Sri Lanka-2 Viet Nam-8 Indonesia-9 Cambodia-8 Iran-2 Mongolia-1 Macao, China-1 Brunei-6 Armenia-1 Tajikistan-1 Pakistan-1 Georgia-5 Australia-2 New Zealand-1 Switzerland-2 Luxembourg Finland Sweden Ireland Denmark Austria Slovenia Germany Belgium Czech Rep. Hungary Malta Ukraine-1 Iceland-2 Italy Belarus-1 Spain Norway Bulgaria Estonia Netherlands Portugal Croatia Turkey Slovakia Romania Latvia Lithuania Greece-3 Macedonia (FYR)-2 Poland Cyprus Serbia-1 Rep. of Moldova-1 Montenegro-3 Albania-2 Bosnia & Herzegovina-3 6 UIS/FS/2012/22 FIGURE 9. A BREAKDOWN OF R&D INVESTMENT IN EUROPE GERD BY SECTOR OF PERFORMANCE, 2010 OR LATEST AVAILABLE YEAR Business enterprise Government Higher education Private non-profit Unknown FIGURE 10. A BREAKDOWN OF R&D INVESTMENT IN AFRICA, ASIA AND THE PACIFIC GERD BY SECTOR OF PERFORMANCE, 2010 OR LATEST AVAILABLE YEAR Business enterprise Government Higher education Private non-profit Unknown Note: -1 = 2009, -2 = 2008, -3 = 2007, -4 = 2006, -5 = 2005, -6 = 2004, -8 = 2002, -9 = 2001.

7 UIS/FS/2012/22 7 Abbreviations: CIS Asia CIS Europe CEO Europe LAC NIE Asia Other Asia Other SSA GERD PPP$ Commonwealth of Independent States in Asia Commonwealth of Independent States in Europe Central, Eastern and Other in Europe Latin America and the Caribbean Newly Industrialized Economies in Asia including Hong Kong, Indonesia, Malaysia, Philippines, Republic of Korea, Singapore This excludes Japan, China, India and Israel Other Sub-Saharan Africa; this excludes South Africa Gross domestic expenditure on R&D Purchasing power parity dollars Please consult the UIS website to access the UIS Data Centre and subscribe to ealerts on the Institute s latest publications and data releases.

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