Enhancing the competitiveness of the French economy through research, development and innovation 10/02/2014
01. France France 65 800 000 inhabitants 633 000 km² GDP 2121 Billion (5 world rank) 2 790 000 entreprises (91%very small companies and 4,8 % SMEs ) 52%of SMEs are innovative 2
R&D and innovation policies in 01. France 02. Clusters 03. Europe 2020 04. Bpifrance Titre de la présentation 3
01. R&D and innovation policies in France A- Situation of France B- R&D and innovation expenses C- A new policy to boost innovation 4
01. R&D and innovation policies in France Situation of France R&D expenses = 45 Billion 5th world rank but only 20th world rank for innovation (private R&D too low) Gap due to cultural reasons, narrow definition of innovation 5
01, R&D and innovation policies in France R&D and innovation expenses R&D expenses = 45 Billion (2,25 % of GDP) Grants, repayable advances, loans without interest: support to private R&D Fiscal measures: CIR (crédit d impôt recherche ) 5,8 Billion for 200.000 beneficiaries, the main government incentive for R&D JEI (jeune entreprise innovante) 111M Public procurement Cluster Program Financing FUI Strategic Industrial Innovation - ISI 6
01, R&D and innovation policies in France A new policy to boost innovation Innovation by all Open innovation (more transfer) Innovation for growth 7
02. Clusters A- Period 2005-2013 B- Period 2014-2018 8
0.2 Clusters Period 2005-2013 71 clusters created in 2005 7+11 global clusters and 53 national clusters Promote collaborative dynamic between entreprises and research actors Develop an ecosystem for growth and innovation and an innovation platform 3 Billion for the period 2005-2013 1.264 project financed by the FUI(fonds unique interministeriel) with 5,8 billion R&D expenses (1,4B from the State) and managed by Bpifrance 9
02. Clusters Period 2014-2018 Program : part of the national policy for growth, competitiveness and jobs. => Support their SMEs in access to finance, internationalisation, enhance their skills and provide individual coaching. In the «investissements d avenir», two measures are dedicated to clusters: Structuring R&D projects: 300 M Sharing innovative platform: 200 M This strategy is in line with the European «smart specialisation» 10
03. Europe 2020 Flagship Initiative: Innovation Union A - Strategy Europe 2020: facts & goals B - Strategy Europe 2020: measures 11
03. Europe 2020 Flagship Initiative : Innovation Union Strategy Europe 2020: facts & goals Strategy Europe 2020: for a smart inclusive and sustainable growth Europe weakness Under investment in knowledge foundation Unsatisfactory framework conditions: poor access to finance low standardisation European goals for innovation: improve Europe s competitiveness in an open world and create million of new jobs to replace the jobs lost during the crisis Tackle successfully societal challenges such as climate change, energy & resources scarcity, health & ageing 12
03. Europe 2020 Flagship Initiative : Innovation Union Strategy Europe 2020 : measures European Strategy Improve cooperation between science and business Help entrepreneurs to bring ideas to market Horizon 2020: new programme that finances research and innovation budget: 79 Billion 8 Billion devoted to SMEs & 1 for Eurostar New Risk Finance instruments: 2,8 Billion European cohesion policy: the smart specialisation Elaborated with the Regions and the Structural Funds (ERDF) 13
04. Bpifrance A Stockholders & missions B - Key figures 2012 C Activity in 2012 D Innovation financing E New innovation programme 14
04. Bpifrance Stockholders : State : 50% - Caisse des Dépôts : 50% Missions: Support SMEs and Midcaps throughout their life cycle Contribute to French industrial renewal Support emergence of new champions Encourage French companies to: access to export markets go abroad Allocation of equity to growing companies 15
04. Bpifrance Bpifrance: key figures 2012 42 Bn Total assets of 42 billion, including 20 billion in loans 12 billion in guarantees 10 billion in equity financing. 72 000 Companies have directly benefited from guarantees, loans, and/or equity 2 000 Employees 19 500 Companies supported by co-financing their investments alongside with banks 3 200 Innovative projects funded each year 1680 Projects including international developments 1 000 Companies supported with equity and quasi-equity directly or through partners funds 16
04. Bpifrance Financing French SMEs growth and innovation plans - Activity in 2012 Innovation Guarantee Co-financing Investment Public programs Soft loans ( 340 Mn) Subsidies ( 319 Mn) Bpifrance Financement 659 Mn Risk sharing up to 70% Bpifrance Financement 3.8 Bn risks Loans Pari-passu with banks Bpifrance Financement 4.7 Bn loans Banks ( 5 Bn loans) Bpifrance Investissement Direct Indirect (funds of funds) Banks 8.8 Bn loans 257 Partner funds 3,200 SMEs 65,000 SMEs 11,000 SMEs 3,000 SMEs 17
Individual projects Guarantees & Loans Collaborative projects Grants &Loans 0.4 Bpifrance Innovation financing Feasibility Project Commercialisation Subvention Grant + Reimbursable + Avance remboursable Soft loan (zero interest) Grant + Reimbursable Grant + Reimbursable AI PTZI ISI PSPC Grant FUI Grant European programmes Innovation Loan Seed loan Development Innovation Contrats Innovation guarantee fund Note 1: With public guarantee backing
04. Bpifrance New innovation programme «NOVA plan»: to develop «French champions» Continuum of financing: grants, new loans and equity even for non technological innovation (+100 M in 2014, +150M in 2015) New large venture funds: 500 M New seed loan up to 500 K New innovation loan: up to 1,5 M Coaching-mentoring supporting SMEs, 200M to be invested in «accelerators» Co-working area for Start-up in Bpifrance 19
Thank you gilles.lecocguen@bpifrance.fr