GOVERNMENT BUDGET ALLOCATIONS FOR R&D, 2020 – 2021

The share of the Government Budget appropriations or outlays for the R&D in GDP amounted to 0.80% in 2020

In 2020, the amount of 3.0 billion kuna of the Government Budget appropriations or outlays was spent for the R&D activity.

The biggest share of the Government Budget appropriations or outlays for the R&D activity in 2020 was intended for the Higher education sector (71.5%). The Government sector followed with 27.3%, while the lowest share was intended for the Private non-profit sector (0.3%) and Abroad (0.3%).

Regarding the socio-economic objectives, the highest amount (64.2%) of the Government Budget appropriations or outlays for the R&D activity in 2020 was spent for the objective General advancement of knowledge: R&D financed from general university funds (GUF). The objective General advancement of knowledge: R&D financed from sources other than GUF followed with 22.9%, while the smallest amount was spent for the objective Exploration and exploitation of space (less than 0.1%).

The planned Government Budget appropriations or outlays for the R&D activity in 2021 (according to the adopted Government Budget for 2021) amounted to 3.1 billion kuna, of which over half of funds (60.0%) were intended for the objective General advancement of knowledge: R&D financed from general university funds (GUF).

NOTES ON METHODOLOGY

Purpose of the survey

This survey collects data on the Government Budget appropriations or outlays according to the socio-economic objectives, including all grants to the international R&D programmes or institutions abroad. The objective of the survey is to enable the monitoring of the state R&D policy through its financing of the R&D activities. As opposed to the research imposed to organisations engaged in the R&D activities, this survey focuses on organisations that finance the R&D activity.

The survey is conducted on the basis of the Annual Implementation Plan for Statistical Activities of the Republic of Croatia in 2020 (NN, No. 12/20) and the Official Statistics Act (NN, No. 25/20). The legal basis of the European Union for the implementation of the survey is Decision No. 1608/2003/EC of the European Parliament and of the Council of 22 July 2003 concerning the production and development of Community statistics on science and technology and Commission Implementing Regulation (EU) No. 995/2012 of 26 October 2012 laying down detailed rules for the implementation of Decision No. 1608/2003/EC.

Data sources

Data are the result of statistical processing of annual reports collected from budgetary and extra-budgetary users of the Government Budget in 2021. The Ministry of Science and Education provided data in the Annual Report on the Government Budget Appropriations or Outlays for the R&D Activity ‒ PIIR-1 form, while other government bodies provided data in the Annual Report on the Government Budget Appropriations or Outlays for the R&D Activity ‒ PIIR-2 form.

Pursuant to the Official Statistics Act (NN, No. 25/20), the confidentiality of all data provided by the reporting units in the form is guaranteed. The data collected are used solely for statistical purposes and are published in aggregate form.

Coverage and comparability

The statistical survey on the Government Budget appropriations or outlays for the R&D activity in the period from 2020 to 2021 covers budgetary and extra-budgetary users of the Government Budget in the Republic of Croatia, that is, all government bodies who in 2020 financed and in 2021 planned to finance the R&D activity. The data are based on the actual Government Budget appropriations or outlays for 2020 (money paid out during the year) and the adopted Government Budget for 2021 (amount enacted by the Croatian Parliament before the rebalancing of the Budget).

The First Release includes data on funds that the Ministry of Science and Education directly allocated for the R&D purposes in 2020 from the Government Budget of the Republic of Croatia activity in the Ministry’s competence as well as data submitted to the Ministry by reporting units. The First Release includes data related to institutions from the system of science and higher education (institutions of higher education and public scientific institutes).

Since October 2013, the Ministry of Science and Education has no longer funded the scientific/research projects (z-projects). The financing of research projects is carried out by the Croatian Science Foundation through its programme Research Projects and other programmes such as Installation Research Projects.

The data published in this First Release are comparable with data for previous years, including data for 2009 and 2010.

The methodological basis for the implementation of the survey is the internationally acknowledged standard, which was set up and published in the Frascati Manual 2015 by the OECD.

Definitions and explanations

Definitions of the R&D field are based on the international methodology − the Frascati Manual 2015 (Frascati Manual, 2015: Guidelines for Collecting and Reporting Data on Research and Experimental Development, the Measurement of Scientific, Technological and Innovation Activities, publisher: OECD, Paris, 2015).

The Nomenclature for the Analysis and Comparison of Scientific Programmes and Budgets – NABS 2007 was used in monitoring of the allocation of the Government Budget appropriations or outlays according to the socio-economic objectives, which is correlated with the Frascati Manual. This Nomenclature explains the socio-economic objectives, that is, the purpose of the spent appropriations or outlays for the R&D in 13 categories.

Research and development (R&D) comprise systematic creative work aimed at increasing knowledge about man, culture and society and its application in practice. For an activity to be an R&D activity, it must satisfy five criteria. The activity must be novel, creative, uncertain, systematic and transferable and/or reproducible. There are three types of research and development: basic research, applied research and experimental development.

Business enterprise sector comprises enterprises and institutions the main activity of which is production of goods and services intended for market at commercial price. It includes public enterprises as well as non-profit institutions that are market producers of goods or services.

Government sector comprises all units of central and local government, including social security funds, except institutions of higher education as well as all non-profit institutions that are controlled by government units, and that are not themselves part of the Higher education sector.

Private non-profit sector comprises non-market, non-profit institutions serving households (that is, the general public), except those mainly controlled and financed by the government, their main characteristic being that they should not be the source of revenue or profit to the institutions controlling them.

Higher education includes all institutions providing formal tertiary education programmes, whatever their source of finance or legal status, and all research institutes and centres that have their R&D activities under the direct control of, or administered by, tertiary education institutions.

Abroad includes all institutions and individuals located outside the political borders of a country as well as all international organisations (except business enterprises) including facilities and operations within the country borders.

Socio-economic objective represents the basic allocation of funds for R&D set up by the OECD and expressed in 13 categories.

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Milenka Primorac Čačić, Director of Business Statistics Directorate

Lidija Brković, Director General

Prepared by:
Mirna Kvaternjak, Matija Škegro Vdović and Željko Jelovečki

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