Indicators of the innovation system

The innovation capacity of a country is not only determined by its level of research and development, but also by its capacity to convert knowledge into new products, processes, organisational structures, which in turn generate economic growth. The innovation performance is also influenced by the socio-economic profile of the country, by the business environment, the degree of entrepreneurship, the access to finance…

Public support for R&D and innovation

Public authorities are an important actor of the innovation system. Most basic research is performed in universities and in public research institutes, which are both largely funded by the public sector. The government also contributes to business R&D through direct funding (grants, contracts, and loans) and through tax incentives.