In 2012, the Russian federal government will spend 742 billion rubles on innovation, or approximately $23 billion, up from 477 billion rubles, or $16 billion, in 2010, Russian Vice Prime Minister Sergey Ivanov declared in a forum on Wednesday.
“But we cannot, and must not, eternally increase state funding of innovation,” news agency RIA Novosti quoted him as saying.
Ivanov called on the private sector to “become the driving force of innovation activity on a large scale,” considering a more ascendant role for private sector investment in innovation as a key goal for the Russian economy to develop in the coming decade.
In foreign countries, Ivanov reminded, the private sector’s share in innovation-related investment amounts to as much as 65%, whereas this private participation does not exceed 20% in Russia. As a result, no more than three Russian companies can be found among the top 1000 companies investing in R&D – Gazprom, AvtoVAZ and Sitronics, a leading Russian microelectronic device maker.
These statements come as a part of an ongoing debate about the country’s development strategy. While the Russian economic system continues de facto to rely mainly on energy resources and export, a part of the political and economic elite has been contending for alternative, innovation-driven models in line with President Medvedev’s declared commitment to the country’s modernization.
Some of these advocates of modernization deem government innovation policies insufficient and inconsistent. “For the last twenty years, we have seen only hesitant and incomplete reforms with no major breakthroughs,” said Leonid Gokhberg, Vice Rector of the Higher School of Economics, in July. Russia still lacks a clear and precise innovation strategy with consistent goals and means, whereas many state sponsored initiatives – such as technoparks and special economic zones – are not really functioning, these advocates say.
