InterAmerican Development Bank Sustainable Development Department

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Inter-American Development BankSustainable
Development Department
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STRATEGY FOR SCIENCE AND TECHNOLOGY FOR
DEVELOPMENT OAS/IACD Conference A New Consensus
to Confront Poverty in the Americas, November 19,
2003
Marta Cehelsky Senior Adviser for Science
Technology martace_at_secondment.iadb.org
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IDB and Science Technology

• 1962 1st ST loan (Peru)
• 1967 Advisory Group on ST
• 1968 Operating Policy on ST
• 1994 8th Replenishment
• 1999 Institutional Strategy
• 2001 Strategy for ST for Development

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1967 ST Advisory Group Conclusions

• ST is requirement for development
• Build domestic capacity
• Link research to education
• Support high level research centers
• Connect research to needs of the region
• Establish national research councils
• Consider regional foundation for ST

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1968 Operating Policy for Science Technology

• Create demand for ST activities
• Support higher education research research
  institutes
• Promote establishment of national scientific
  organizations
• Stem brain drain
• Important areas mapping, conservation,
  agricultural research
• Support institutes of standards in regional
  framework
• Support technology transfer institutional
  development
• Locate organizational responsibility in Education
  Group

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Focus of Projects
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Science Technology Portfolio(in millions US )

• Current portfolio (approximate) 510
• Loans in the last 3 years 131
• Technical Cooperations last 3 years 7
• Loans in preparation 136

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Distribution of Loans by sector of Activity

• Sector 2002 () 1961-02()
• Productive Sectors
• Agriculture and Fisheries 156.9 3.4 12,950.4
  10.9
• Industry, Mining and Tourism 497.6 10.9 12,336
  .9 10.4
• Science and Technology 18.0 0.4 16,88.4 1.4
• Physical Infrastructure
• Energy 127.6 2.8 16,912.2 14.3
• Transportation and
• Communications 451.8 10.0 13,665.6 11.6
• Social Sectors
• Sanitation 133.8 2.9 9,218.5 7.8
• Urban Development 284.1 6.2 7,086.4 6.0
• Education 115.0 2.5 5,108.7 4.3
• Social Investment 1912.5 42.0 10,971.0 9.3
• Health 5.0 0.1 2,157.7 1.8
• Environment 146.4 3.2 1,669.0 1.4
• Micro-enterprise 30.0 0.7 418.6 0.4
• Others
• Reform and Modernization of

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Principal Outcomes

• Human resource development
• Establishment of national science focused
  institutions (conicyts)
• Support for laboratories, research centers
• Supported collateral activities in other sectors
  (agriculture, environment, ICT)
• Helped lay foundation for the future

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Key Data RD in LAC
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RD as a Percentage of GDP
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Strategy ST for Development 2001

• On the aggregate, society does not get
  adequate payoff from its investment in science
  research because the effort is often geared to
  areas which do not have the corresponding
  technological and productive activities, and
  linkages between university based research and
  the productive sector are inadequate.

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Related Strategies

• Higher Education
• Capital and Financial Markets
• Competitiveness
• Environment
• Agriculture
• Modernization of the State
• Information Communication Technology
• Small Medium Businesses

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ST Strategy Objectives

• Build innovation systems link with global
  knowledge economy
• Diffuse incorporate new technology into
  production related processes
• Increase level, effectiveness, productivity of
  investments in ST
• Increase quality quantity of trained human
  resources
• Build linkages among components of system
  domestically and internationally

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ST Strategy Elements

• Systems approach
• Increased emphasis on technology
• Continued support for research training with
  emphasis on critical areas
• Increased support to smaller, poorer countries
• Human resource development

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IDB ST Strategy

• Element 1. Systems Approach
• Review and Assess national innovation systems
• Improve regulatory policy environment for
  innovation, enable importation of technology
  strengthen capital markets, intellectual property
• Strengthen delivery capacity of ST institutions,
  evaluation, information management, policy
  coordination

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IDB ST Strategy

• Element 2. Continued Support to Scientific
  Research
• Strong science teaching
• Concentrate resources in critical fields related
  to installed productive capacity problem solving
  approach strengthen existing centers of
  excellence, establish new ones where necessary
• Link supply demand co-financing, outreach,
  exchanges, new bridginginstitutions
• Institutional development autonomy,
  transparency, agility competitive peer review,
  international collaboration, monitoring
  evaluation

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IDB ST Strategy

• Element 3. Technology to raise level of private
  sector Investment in RD
• Technology development funds access to
  resources, esp. in areas of market failures
  SMEs industry/government collaboration matching
  grants
• Technology development diffusion technology
  support institutions local regional
  infrastructure tech centers, incubators
• Metrics quality control
• Improved public sector relations with private
  sector

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IDB ST Strategy

• Element 4. Emphasis on Smaller, Poorer Countries
  and Region as Whole
• In the knowledge based world, strengthening
  human capital and related research will be as
  fundamental for poorer countries as for the more
  advanced ones.
• Identify strategic fields build electronic
  networks support regional RD institutions
  identify appropriate technologies technology
  development funds use external assessments

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IDB ST Strategy

• Element 5. Human Resource Development
• Basic skills and technological literacy improve
  primary and secondary education for all
• Higher education increased institutional
  diversity, quality of instruction, linkages
  engineering education reform
• Training improve technical, vocational training,
  esp. with impact on innovation
• Graduate study focus on critical fields link
  with centers of excellence

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National Innovation System
Academic Sector
Public Sector
Legal framework
Institutional Network
Technological services
Fiscal policy
Private Sector
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ST Strategy Instruments

• Policy Analysis Dialogue
• Country analysis, improved monitoring
  evaluation
• Financial Instruments
• Technology development funds (lines of credit or
  grants) for product process improvement
• Expanded use of matching grants fiscal
  incentives
• Implementation and Monitoring
• Country by country progress impact
• Private sector role
• Regional reviews Consultations with outside
  advisors
• Adequate staffing and coordination

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Conclusions

• ST has historically been a consistent element of
  IDB mission and portfolio
• IDB has a current ST Strategy that focuses on
  connection between RD and economic and social
  development
• Challenges and needs of the region will require
  greater effectiveness of ST in the IDB portfolio

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CHALLENGES

• Resources
• Organization
• Collaborations
• Integration with national development policies
• Effectiveness

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Marta Cehelsky202-623-2176 martace_at_secondee.iadb
.org
Marta Cehelsky202-623-2176martace_at_secondee.iadb.
org