The Singapore government spent a record $2.3 billion, or 0.87% of its GDP, on research and development in the past year, according to a report by the Agency for Science, Technology and Research (A*STAR). The government has promised to increase that amount to 1% of GDP to make Singapore a global R&B hub and “Asia’s innovation capital” with an economy dominated by entrepreneurs.

Gross expenditure (including private sector spending) on R&D actually fell between 2008 and 2009 thanks to a reduction in the private sector’s capital expenditure from $2 billion to $712 million. Capital expenditure includes one-off purchases of fixed assets such as land, construction and equipment. The government, however, will prop up the shortfall with plans to spend a total of S$16.1 billion (US$12.2 billion) on R&D between 2011-15 as part of its Research, Innovation and Enterprise 2015 plan.

source & article: Straits Times