ICT RDI funding in Moldova - challenges and opportunities

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ICT RDI funding in Moldova - challenges and opportunities Dr. Igor Cojocaru Ion Cosuleanu Information Society Development Institute Academy of Sciences of Moldova

Innovation in Moldova how are we doing globally? 2 Source: Global Information Technology Report 2016

Innovation in Moldova how are we doing globally? Source: Global Information Technology Report 2016 3

Innovation in Moldova how are we doing globally? Global Innovation Ranking 2016- Moldova among 50 first... With Bulgaria (38) and Romania (48) a few middle-income countries such as Turkey (42nd), Costa Rica (45th), and the Republic of Moldova (46th) with lower middle income are a part of the top 50 ranked along with high income countries. Source: The Global Innovation Index 2016 4

Innovation in Moldova how are we doing globally? Source: The Global Innovation Index 2016 5

Innovation in Moldova how are we doing globally? Moldova is among the 10 countries with the highest Innovation Efficiency Ratios that are countries that combine certain levels of innovation inputs with more robust output results : Luxembourg, Malta, Iceland, Republic of Moldova, Switzerland, Estonia, China, Ireland, Germany, and Sweden. Eight of the top 10 most efficient economies are high-income economies. Source: The Global Innovation Index 2016 6

Innovation in Moldova how are we doing globally? 7 Source: Global Competitiveness Index 2016-2017

Innovation in Moldova how are we doing globally? 8

ICT R&D public funding ü Gross Domestic Expenditure on R&D (GERD) as share of GDP in 2015 0.35% ü Research expenditure in absolute values is low ~ 20 mln Eur in 2015 ü Total funding for ICT R&D is VERY LOW ~ 260.000 Eur in 2015 (1,5% of GERD) 25000 20000 21321,7 22248,4 22463 22267,1 18531,2 21424,9 20363,3 15000 10000 5000 326.7 1.5% 307.1 1.4% 577.6 2.6% 543.5 2.4% 430.3 2.3% 464.7 2.2% 258.8 1.2% 0 2009 2010 2011 2012 2013 2014 2015 Total R&D funding (thousand Eur) Total ICT R&D funding (thousand Eur) Very few relevant applied research programs (ONLY 13 ICT R&D projects in 2015) ICT R&D is definitely not a priority for public funding 9

ICT RDI public funding innovation incubators < 10 innovation incubators (II) Legal, IPR, marketing consulting Accounting and financial services Rent for office and production area Specialized seminars and workshops. q II Nord (State University Alecu Russo from Balti) q II Innocenter (State University from Comrat) q II Inventica-USM (State University of Moldova) q II Politehnica (Technical University of Moldova) q Moldovan-Lithuanian II "Media Garaj" q IT4BA - IT for Business Applications - Innovative IT Incubator at Academy of Economic Studies IT4BA & Drachmae Project are aligning along a strategic roadmap to create Moldova s First Blockchain Student Laboratory 10

Horizon 2020 opportunities Horizon 2020 - the biggest EU Research and Innovation Framework programme, with nearly 80 billion of funding available over 7 years (2014 to 2020) ~55% for ICT ~20% for ICT ~25% for ICT https://ec.europa.eu/programmes/horizon2020/en/background-material 11

Horizon 2020 opportunities Coverage of the full innovation chain Societal challenges Industrial leadership Excellent science Basic Research Technology R&D Demonstration Prototyping Large scale validation Pilots Market uptake

Horizon 2020 coupling research to innovation Support to Research and Innovation from lab to market Use of 'research and innovation actions' and 'innovation actions' depending on the centre of gravity of the targeted activities Promotion of a closer relationship between research and entrepreneurship More support to SMEs More evaluators from the business world involved in the selection process About half of the budget of ICT-related activities allocated to instruments directly aiming at supporting innovation

Horizon 2020 opportunities SMEs that are EU-based or established in a country associated to Horizon 2020 can get EU funding and support for innovation projects through a dedicated SME instrument Moldova is associated to Horizon 2020 since July 1, 2014 HORIZON 2020 dedicated SME INSTRUMENT 2016-2017 Calls for proposals 14

COSME opportunities COSME is the EU programme for the Competitiveness of Enterprises and SMEs, running from 2014 to 2020, with a budget of 2.3billion. The agreement on the participation of the Republic of Moldova to the COSME programme was signed in 2014, HOWEVER, Moldova has access to 3 out of 4 COSME instruments. Enterprise Europe Network Erasmus for Young Entrepreneurs better access to finance for SMEs promoting entrepreneurship COSME access to markets for SMEs improving framework conditions for competitiveness SME Internationalisation Portal COSME Open Calls for Proposals 15

COSME opportunities Enterprise Europe Network Center in Moldova provides support and consulting services to entrepreneurs, Information Days, raising awareness about the opportunities offered by EEN. National Contact Points Organisation for the Development of SMEs Chamber of Commerce and Industry Agency for Innovation and Technology Transfer Technology Transfer Network from Moldova 16

Other national funding initiatives & opportunities Emerging innovation ecosystem in Moldova (accelerators, incubators, events, community, co-working, mentoring etc.) Acceleration program Founder Institute Chisinau Garage48 Chisinau Hackathon GEN Moldova Global Entrepreneurship Network Chisinau Startup Week Innovative business development for local sustainable economic growth GirlsGoIT inspiring girls in technology (Summercamp, Bootcamp, Annual Forum) MOLD SEF Moldova Science and Engineering Fair 17

Challenges Poor dialogue and cooperation between business & academia Few incentives for innovation activities due to the lack of relevant public policies Lack of legislation on venture capital hampers investors Lack of official statistics regarding innovation Few residents in innovation incubators and tech-parks Lack of relevant applied research programs in ICT EC Community Programs are highly competitive Source: STUDIU privind îmbunătăţirea cadrului normativ-legislativ naţional din domeniul proprietății intelectuale în vederea încurajării activităţii inovaţionale http://agepi.gov.md/sites/default/files/2015/11/studiu_inovare.pdf 18

Thank you for your attention! Questions? Ion.cosuleanu@idsi.md 19