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Public R&D funding

  • Government spending on research and development (R&D) as a proportion of Gross Domestic Product (GDP) shows a clear trend toward recovery among some of the largest economies in the Organization for Economic Cooperation and Development (OECD), after a long period of decline compared to private spending
  • In the last two years, R&D funding in relation to GDP by the public sector has grown in the countries shown above. Some of the countries with the highest national expenditure on R&D, such as Germany and South Korea, show a sharp upward trend, with total spending (public and private) as a percentage of GDP exceeding 3%
  • In the opposite direction, the percentage of GDP spent on public R&D funding in Brazil has been falling since 2015. The decline has occurred amid stagnation of Brazilian GDP in real terms throughout the period. Public spending on R&D in Brazil has historically been lower than OECD countries, which makes the drop in recent years even more concerning
  • The upward trajectory of R&D spending in OECD countries is even more evident when compared to the amounts allocated in 2019 and 2020 (Government Budget Allocations to R&D – GBARD). From this perspective, the countries with the greatest real increases in public R&D expenditure are Germany, South Korea, and Israel
  • The GBARD indicator is not provided by the Brazilian MCTI. However, the MCTI budget shows a continued downward trend for public R&D funding, which is particularly pronounced in 2020

* The amounts presented by the MCTI correspond to annual allocations (LOA), excluding those intended for inactive and retired recipients, court rulings, and contingency reserve

SOURCE1  Brazil: MCTI, National Science, Technology, and Innovation Indicators, 2019. Other countries: OECD, Main Science and Technology Indicators – MSTI database, Government-financed GERD as a percentage of GDP. Data accessed on 06/10/2021

SOURCE2  Brazil: Integrated Planning and Budget System (SIOP). Data accessed on 06/11/2021. Prepared by the FAPESP Studies and Indicators Team (DPCTA). Other countries: OECD Statistics, Goverment Budget Allocations to R&D (GBARD). Data accessed on 06/10/2021. Prepared by the FAPESP Studies and Indicators Team (DPCTA).