Towards Achieving the African Union’s recommendation of expenditure of 1% of GDP on research and development

Abstract

African Heads of State and Government have committed to raising their national gross expenditure on research and development (GERD) to at least one per cent of their gross domestic product (GDP), in order to increase innovation, productivity and economic growth. However, this seemingly modest target of raising GERD to 1 percent of GDP remains elusive. The present policy brief explores why such a noble intention remains a challenge and the policy measures that countries can put in place to meet this target. Drawing on lessons from countries that have met and surpassed the 1 percent target, it is suggested that governments should put in place measures that raise public expenditure on research and development, and stimulate innovation in the private sector to increase business expenditure on research and development.