The Annual Growth Survey 2016 highlighted that investing in R&I at national level is critical for growth and that therefore Member States should continue to prioritise public investments in R&I, ensuring their efficiency and leverage with regard to business investment. Member States need to keep up the pace of reforms to ensure an investment-friendly environment. See more information about the European Semester.
The European Semester supports Member States' structural reforms in different policy areas to promote jobs, growth and investment. Research and innovation play a key role in this context. That is why the Commission gives recommendations to and closely work with the Member States to increase the performance of their national R&I systems.
Have a look and see how the country is performing.
R&D investment has remained modest over the past years in Cyprus. In 2015, total R&D intensity stood at 0.46 % of GDP, with public R&D intensity accounting for 0.31 % of GDP. R&D carried out by the private sector was 0.08 % of GDP, which is the lowest across all Member States. These very low values illustrate the nascent and significantly underdeveloped nature of the R&D system in Cyprus. This can notably be explained by structural limitations such as Cyprus' remote location, small market size, and service-oriented economy. The low levels of R&D hinder the ability to diversify the Cypriot economic structure and boost productivity.
Although some measures have been adopted to redirect scarce public funding towards priority areas, there are some shortcomings in R&D governance and evaluation of funding. Cyprus has adopted a series of policy instruments to promote R&D. For example, a scheme to support private R&D investment has been introduced and the government plans to set up a National Knowledge Transfer Office. However, Cyprus does not sufficiently monitor and evaluate the structuring and steering of public research. Sustained monitoring is necessary to boost science-business linkages and ensure the relevance of public research. Overall, reforms undertaken by Cyprus go in the direction of building a more robust R&D policy system.
|2019||Specific Support to Cyprus: Expert panel|
|2018||MLE on National practices in Widening Participation and Strengthening Synergies: Synthetic Synergies Paper|
|2018||MLE on National Practices in Widening Participation and Strengthening Synergies: Summary Report|
|2018||MLE on Widening Participation and Strengthening Synergies: Factsheet|