Global Investments in R&D

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Fact Sheet No. 50 June 2018 FS/2018/SCI/50 Global Investments in R&D The UNESCO Institute for Statistics (UIS) is the statistical office of UNESCO and is the UN depository for global statistics in the fields of education, science and technology, culture and communication. This fact sheet presents the latest UIS data on research and experimental development (R&D) available as of June 2018. A snapshot of R&D expenditure This fact sheet illustrates global and regional trends in the allocation of resources to research and experimental development (R&D). The UIS releases data on resources devoted to R&D once every year in June. http://uis.unesco.org @UNESCOstat The most commonly-used indicators to monitor resources devoted to R&D worldwide are gross domestic expenditure on R&D (GERD) expressed in purchasing power parity (PPP$) and R&D intensity (percentage of gross domestic product (GDP) devoted to R&D activities). Figure 1 presents the distribution of R&D expenditure by region. Figure 1. Where are R&D investments made? Shares of world R&D expenditure (GERD) by region, 2009, 2011, 2013 and 2015 Source: UNESCO Institute for Statistics estimates, February 2018.

2 UIS Fact Sheet No. 50 June 2018 Figures 2 and 3 illustrate the distribution of R&D intensity by region. This indicator presents 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 region, 2009, 2011, 2013 and 2015 Source: UNESCO Institute for Statistics estimates, February 2018. Figure 3. A snapshot of R&D intensity Gross domestic expenditure on R&D as a percentage of GDP, 2016 or latest year available

3 UIS Fact Sheet No. 50 June 2018 The 2015 regional averages for the share of GDP devoted to R&D activities are: 1.7% for World 0.5% for Arab States 1.0% for Central and Eastern Europe 0.2% for Central Asia 2.1% for East Asia and the Pacific 0.7% for Latin America and the Caribbean 2.5% for North America and Western Europe 0.6% for South and West Asia 0.4% for Sub-Saharan Africa Figure 4 illustrates the world s top leaders in R&D expenditure, measured in 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$), 2016 or latest year available 41,104,129 37,265,830 47,798,459 50,118,735 62,351,298 77,656,294 511,089,000 UNITED STATES CHINA JAPAN GERMANY KOREA, REP. 118,790,567 FRANCE INDIA-1 UNITED KINGDOM BRAZIL-1 RUSSIAN FEDERATION 165,739,961 451,913,898 Notes: -1 = 2015.

4 UIS Fact Sheet No. 50 June 2018 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 (rest of the world), and expressed as a percentage. Figure 5. Funding in the Americas GERD by source of funds, 2016 or latest year available Notes: +1 = 2017, -1 = 2015, -2 = 2014, -3 = 2013, -7 = 2009.

5 UIS Fact Sheet No. 50 June 2018 Figure 6. Funding in Europe GERD by source of funds, 2016 or latest year available Notes: -1 = 2015, -3 = 2013, -8 = 2008.

6 UIS Fact Sheet No. 50 June 2018 Figure 7. Funding in Africa, Asia and the Pacific GERD by source of funds, 2016 or latest year available Notes: -1 = 2015, -2 = 2014, -3 = 2013, -4 = 2012, -5 = 2011, -6 = 2010, -7 = 2009, -8 = 2008, -9 = 2007, -12 = 2004, -14 = 2002, -15 = 2001. 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.

7 UIS Fact Sheet No. 50 June 2018 Figure 8. A breakdown of R&D investment in the Americas GERD by sector of performance, 2016 or latest year available Notes: +1 = 2017, -1 = 2015, -2 = 2014, -3 = 2013, -14 = 2002.

8 UIS Fact Sheet No. 50 June 2018 Figure 9. A breakdown of R&D investment in Europe GERD by sector of performance, 2016 or latest year available Notes: -1 = 2015, -8 = 2008.

9 UIS Fact Sheet No. 50 June 2018 Figure 10. A breakdown of R&D investment in Africa, Asia and the Pacific GERD by sector of performance, 2016 or latest year available Notes: -1 = 2015, -2 = 2014, -3 = 2013, -4 = 2012, -5 = 2011, -6 = 2010, -8 = 2008, -9 = 2007, -11 = 2005, -12 = 2004, -14 = 2002. Please consult the UIS website http://uis.unesco.org to access the UIS database and subscribe to ealerts on the Institute s latest publications, data visualisations and data releases. For more information on R&D data, please consult the UNESCO eatlas of Research and Experimental Development at http://on.unesco.org/rd-map