How to overcome innovation gaps in EU-13 countries

Updated recommendations to improve innovation performance of the newer EU Member States show that no policy is applicable to all.

STOA – the Panel for the Future of Science and Technology of the European Parliament – has published an updated study of innovation gaps in EU-13 member states, revising earlier hypotheses and outlining eleven policy options under two dimensions: governance and capacity-building (see here for the original 2018 study). The study highlights the continuing low level of R&D expenditure in these countries as well as the need for structural changes and sustainable reforms in the field of research. It proposes in particular to develop strategic plans for long-term objectives, strengthening collaboration between business and academia, prioritising international research collaboration, increasing research financing and developing synergies between different funding schemes.

Notably, it points out the differences that exist between EU13 countries in terms of their innovation profile and therefore in terms of the relevant policy options. These newer EU members vary in their performance, with Estonia classed as a strong innovator (alongside the likes of Germany, France and UK). Ten of the EU-13 are classed as moderate innovators, while Romania and Bulgaria are labelled modest innovators. As regards scientific output, some EU-13 countries (Cyprus, Estonia, Malta, Slovenia, and Hungary) achieve a citation impact comparable to the level of the older EU Member States.

On the specific issue of innovation potential, the report notes the need for “hybridisation of elements from university, industry, government and knowledge transfer”. In this regard, a major obstacle to innovation in EU-13 countries lies in the business environment, which is mostly based on SMEs and micro-companies with limited research capacities and limited capacities to bring innovations to market. The report proposes the establishment of clusters and platforms to facilitate business participation, as well as centres for the coordination of knowledge transfer from research organisations to businesses, including incubation centres as well as lead market initiatives.