"Although Israel is in first place in the world in investment in civilian R&D as a percentage of GDP, this is not enough, and it is necessary to increase the rate of investment in technology, because our fate as a country depends on it," said Chief Scientist Dr. Eli Opper at the Luzzato & Luzzato conference today.
Opper said that while Israel had a high ranking on a number of science and technology variables, but that this was somewhat misleading because Israel's main resource was its human infrastructure. For this reason "greater investment is needed compared with other countries".
Opper added that this investment was critical, and that Israel had the infrastructure and potential to improve its economic situation and global position by boosting investment in science and technology. "This investment can be an excellent growth engine, especially with the global recovery," he said.
Opper said that Israel's investment in civilian R&D was 4.5% of GDP, compared with the European average of 3%. He noted, however, that some countries, such as South Korea, were powering ahead and narrowing the gap. Israel is also a leader in science and technological personnel, with 140 engineers per 10,000 residents, thanks in large part to Russian immigrants rather than natural growth in graduates from Israeli universities. Israel is also a global leader in medical devices patents, and ranked fifth in patents per capita.
Opper concluded by warning against missing commercial ties with emerging markets, especially countries such as China, India, and Brazil. "It is necessary to recognize the new centers of global growth, such as India. India will grow and become a global economic power, either with us or without us. We just have to decide whether we want to be there and cooperate with them," he said.
Published by Globes [online], Israel business news - www.globes-online.com - on October 28, 2009
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