Continuing optimism, but more cautious than in previous years – this is the mood of German companies with respect to their commitment in research and development (R&D) in 2012. This view results from the R&D early indicator of the Stifterverband für die Deutsche Wissenschaft (Foundation Association of German Science). Although the early indicator is still positive with a value of 0.25, thus indicating a continued rise in companies’ commitment in R&D, it is still well below previous years’ values of 0.44 in 2010 and 0.42 in 2011.

The Stifterverband’s early indicator gives first pointers to how research and development are developing in the German economy in the current year. It relates to assessments from 1,029 companies that the Stifterverband surveyed about the likely development of R&D expenditures in the second quarter of 2012. For this purpose 61 per cent of companies reported they would slightly increase their R&D expenditures compared to the previous year. A good eleven per cent even wanted to significantly raise their commitment. In contrast, 23 per cent of companies assumed they would spend less on R&D than in the previous year. The remaining companies saw no change.

The Expertenkommission Forschung und Innovation (EFI, or Commission of Experts Research and Development), which was set up by the German government, is calling for a consistent development of science intensive industries and services in Germany in its 2012 annual report. In 2010 the proportion of expenditure on research and development (R&D) in Germany was 2.82 per cent of gross domestic product and thus 2010 reached a new high. With expenditure of 69.7 billion euros, of which 46.9 billion came from business, the German economy increased its investments in R&D by 4.3 per cent on the previous year. Nevertheless, the members of the committee were only partially satisfied with these results. In the face of increasing competition, including from developing countries, the experts describe the target set by the government of three per cent of gross domestic product for R&D expenditure by 2015 as “lacking ambition“. Other countries such as Finland, Sweden, Japan and Korea had already left this target level well behind them.