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Enhancing Science Technology and Innovation for Development Opportunities in South Eastern Europe

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Title: Enhancing Science Technology and Innovation for Development Opportunities in South Eastern Europe


1
Enhancing Science Technology and Innovation for
Development Opportunities in South Eastern
Europe
  • Sara E. FarleyScience and Technology
    StrategistWorld Bank
  • Ljubljana, Slovenia
  • September 28-29, 2006

2
To be Discussed
  • 1. A framework for support to Science,
    Technology, Innovation (STI) for development
  • 2. Directions for support to STI in South Eastern
    Europe (SEE)
  • 3. Challenges and next steps

3
Creating a Strategic Vision
  • Four policy pillars essential for NIS
    strengthening
  • Human resources development
  • Stimulation of demand for knowledge in the
    private sector
  • Public support for STI-led growth
  • Strengthening of ICT and infrastructure

4
Policy Work Knowledge for Development (K4D)
Initiatives
  • The web-based tool provides an assessment of a
    countrys knowledge economy
  • Uses a set of 80 structural and qualitative
    variables to benchmark an economys knowledge
    performance
  • Includes 128 countries (90 developing
    economies)
  • Used to conduct analytic work and policy
    dialogue (e.g. China, Vietnam, Korea, Russia,
    Mexico, India, etc.)

5
Knowledge Assessment Methodologies for ECA
6
Knowledge Assessment Methodologies in ECA Contd
7
Key STI Challenges Facing SEE Countries
  • Little private sector participation in innovation
    (competing on natural resources and low wages)
  • Weak innovation/technology absorption in firms
  • Low political priority to STI, limited funding
  • Neglect of STI systems and extensive brain drain
  • Marginal position of the region vis-à-vis EU

8
Lessons Learned from Donor Support to STI
  • Difficulties due to prevailing structure and
    incentives
  • Most donors have no single home for STI, rather
    many actors working across networks and regions
    with very little coordination
  • Segmentation and duplication of efforts
  • Previous lack of holistic framework for STI
    capacity building (i.e., NIS framework)
  • Complexity of administration and knowledge
    bottlenecks

9
Directions for Support to STI in South Eastern
Europe
10
Modes of STI Support to SEE
  1. Support for research infrastructure
  2. Capacity building for FP participation
  3. STI policy articulation and priority setting
  4. Establishing quality indicators and benchmarking
    STI capacity
  5. Improving quality and relevance of tertiary
    education (UG and research degrees)
  6. Fostering good governance and institution
    building in STI
  7. Partnering with regional networks

11
More Avenues for Support
  • Scoping exercises to determine availability and
    improve likelihood of eliciting donor support for
    STI
  • Restructuring universities to meet Bologna
    requirements and improve ST education
  • Fostering academia-industry linkages

12
World Bank ST Lending
  • Between 1980 and 2004, 8.6 billion to ST
    activities 343 million average annual lending
    for ST
  • 9 of projects over the past 25 years provided
    some support for ST
  • Annual average 26 ST projects 5 major, 21
    minor
  • The Agriculture-Rural Development Sector provided
    more support for ST than all other sectors
    combined
  • 42 of 75 major non-agr ST loans went to only 7
    countries (Korea, China, Brazil, India,
    Indonesia, Chile, Mexico)

13
World Bank STI Support Case Study Brazil MSI
and PADCT
  • The Brazil PADCT (Plano de Apoio ao
    Desenvolvimento Científico e Tecnológico)
    Projects, 1985-2005
  • Background
  • 1982 Low level of foreign reserves
  • Exporting raw materials and importing
    manufactured products made from those materials
    at substantial value added
  • Brazilian Ministry of Planning wanted program to
    increase value added of mineral and biomass
    resources

14
Brazils MSI and Lessons Learned
  • MSI gt PADCT III in 2001
  • Shared aims both PADCT and MSI concentrated
    resources on countrys best researchers
  • 17 MSI Institutes established in research areas
    relevant to social and economic development
  • Extensive involvement of ST community in
    MSI/PADCT planning and implementation broad
    acceptance and trust in fairness of resource
    allocation for research
  • Successful institutionalization of peer review
    process with effective mechanisms for avoidance
    of conflicts of interest

15
STI Capacity Building Turkey Technology
Development Project
  • Challenges low industrial quality, highly
    labor-intensive products, limited growth, low
    competitiveness
  • US 155 million, 1999-2004
  • TDP Objectives
  • Improve Turkish technology infrastructure and
    services (e.g., MSTQ, IPR harmonization)
  • Restructure public RD Institutions (Marmara)
  • Stimulation of private sector participation in
    research
  • Formation of venture capital and technology parks
    (Technology Development Foundation of Turkey)

16
Focus on Quality and Linkages Croatia ST
Project
  • Challenges Weak linkages between research and
    industry and between Croatian scientists abroad
    and at home Unfulfilled ambitions of competitive
    NIS
  • US 40 million, 2006-2010
  • Project Objectives
  • Strengthen and restructure RD institutions
    (more applied research at Brodarski Institute
    and others)
  • Increase firms ability to use, adapt, and
    commercialize technology
  • Joint projects with Croatians abroad (Unity
    Through Knowledge Fund)

17
Advantages of a Regional Approach in SEE
  • Cohesion as an EU imperative
  • Shared history and history of Yugoslav-EC
    cooperation
  • Limitations due to small size of countries
    innovation systems
  • International nature of increasing proportion of
    scientific and research endeavors
  • Access to expertise, funding, institutions abroad
    gt science beyond the nation-state
  • 1 1 3

18
Challenges and Opportunities for the Bank and its
Partners
19
To the Future Working Better, Working Together
  • The World Bank and its partners must respond to
    three STI challenges
  • Working cross-sectorally to build synergies
  • Working at the regional level
  • Leveraging our global partnershipx for enhanced
    provision of global public goods

20
Getting Started on Reform and Engaging with Donors
  • Engaging the business community, to understand
    the demand for innovation and sources of your
    countrys competitiveness
  • Putting STI into IPA and Development Strategy,
    and Poverty Reduction Strategy documents
  • Fostering national and regional STI champions
  • Increasing multi-sectoral STI interventions in
    health, agriculture, education, environment, etc.
  • Utilizing knowledge diffusion agents in
    national level projects
  • Generating STI for economic change and
    competitiveness analyses for Ministries of
    Finance and Economy

21
  • The emergence of global science changes the
    scale, scope and processes of the governance of
    science.
  • We need a new framework for the governance of
    21st century science. The new approach uncouples
    science from national prestige and ties it more
    firmly to collaboration, merit and openness. It
    scales research to the needs of science rather
    than the interests of the funder.
  • Caroline Wagner, Science Policy Beyond the
    Nation State, Nations, Knowledge and Networks in
    the 21st Century. Forthcoming . Brookings.
    2007.

22
Thank you.
  • Sara E.Farley The World Bank
  • sfarley_at_worldbank.org
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