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R&D intensity

Published on 28 July 2023 • Next update: June 2024
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R&D intensity rises to 3.7% of GDP in 2021

Expenditure for research and development (R&D) in the Flemish Region in 2021 is estimated at 10.8 billion euro. This means that the R&D intensity rose to 3.65% of gross domestic product (GDP) in 2021.

As in previous years, R&D expenditure also increased in 2021. GDP also increased in current prices, but less strongly, which meant that R&D intensity increased. The increase in R&D intensity was even stronger in 2019 and 2020. Since 2019, R&D intensity in the Flemish Region has exceeded the threshold of 3% of GDP.

In 2021, 77.5% of R&D spending was privately funded, compared to 22.5% being publicly funded. In previous years, this ratio has always fluctuated around 75% and 25% (respectively).

Businesses account for bulk of R&D expenditure

Businesses are responsible for the largest share of R&D spending (7.9 billion euros in 2021 or 73% of total R&D spending). The share of businesses gradually increased over the years (68% in 2011). The increase in R&D spending was seen in large and medium-sized businesses and in most industries, except for some low-tech industries and service sectors.

The universities and research institutes affiliated with universities were the 2nd most important actor in 2021 with a share of 15% (20% in 2011). The governments had a share of 11%. Non-profit institutions have a marginal share of R&D expenditure.

Flemish R&D expenditure belongs to the top of the EU

The R&D intensity in the Flemish Region (3.65% in 2021) was slightly higher than in the Walloon Region (3.61%). The Brussels Capital Region had a lower figure (2.49%).

The Flemish Region surpassed the top of the EU countries in terms of R&D intensity. Belgium is the EU country with the highest R&D intensity (3.43% in 2021). Together with Sweden, Austria and Germany, these are the countries with a figure above 3% of GDP.

R&D intensity is lowest in a number of southern and eastern European EU member states. But Ireland (1.06%) and Luxembourg (1.02%) also score relatively low.

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