Volume 3 - 6
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6. Call for more research and development spending for an
economically competitive country.![]() It is anticipated that South Africa will meet its research and development spending target of 1 % of gross domestic product (GDP) in the next two years, according to the Department of Science and Technology’s Director-General Dr Rob Adam. He was speaking at the launch of the national R&D Survey: 2001/2. The National Research and Development Strategy indicates underspending on innovation, and this, combined with the termination of some key technology missions of the pre-1994 government, (for example the defence and nuclear energy programmes), resulted in a reduction of the total research and development spend from 1.1% in 1990 to 0.7% of GDP in 1994. The reduction occurred as the new democracy emerged, and the National System of Innovation was required to respond to the needs of 40 million people as opposed to the 5 – 6 million previously catered for. In every country in the world, research and technology indicators are important indicators of national competitiveness. The recent R&D survey is the fourth conducted in South Africa since 1991. The 1997/98 survey recorded R&D expenditure at R4.1 billion, or 0.69% of GDP, including both public and private sector spending. According to Michael Kahn, Executive Director, Knowledge Management at the HSRC, the 2001/2 R&D figure is R7.5 billion, the equivalent of 0.76% of GDP, a slight increase in real terms. Despite the lower R&D spend, the South African economy has displayed resilience in the face of a global slowdown and much uncertainty in emerging and developing markets. And as the government continues on its course, focusing on the dual challenges of raising growth rates and sustaining poverty reduction, the goal is to increase R&D expenditure in the medium term to 1% of GDP. This is in line with an accepted norm in countries at an intermediate level of development, whereas the average spend in developed countries is greater than 2% with the private sector commonly contributing more than the public sector. There is overwhelming global empirical evidence supporting the wisdom of increased R&D investment. It is clear that when national policies encourage support for research and development, including special support for the "triple helix" of business, government and the higher education sectors, the result is invariably a more competitive international position. |
![]() Gross expenditure on R&D as a percentage of GDP (South Africa, 1991-2001) ![]() Gross expenditure on R&D as a percentage of GDP 2001 ![]() Women researchers as a percentage of total research (headcount) 2001 |


