Internal research and development (R&D) expenditure is growing in Catalonia; investment has increased from 2,107 million euros in 2004 to 3,286 million euros in 2008. In 2008, a fiscal year that was marked by the beginning of a backslide in the gross domestic product (GDP), Catalonia ranked fifth in R&D growth, up 8.8%, according to a report from the Co-ordination Office in Research and Innovation.
R&D efforts focus mainly on the fields of biotechnology, pharmaceuticals and fine chemicals, with 30%; information and communication technology, with another 30% of the total; materials technology, between 15% and 20%; and the rest in a variety of sectors, according to data from the Department of Innovation, Universities and Enterprise.
Despite being ranked fourth in Spain in R&D investment (1.61% in 2008), behind Madrid (2%), the Basque Country (1.96%) and Navarra (1.92%), it is important that the upward trend has continued and predictions for two years from now will put us on par with the European average of 2%.
Another important aspect is that in Catalonia innovation in companies carries more weight than in the rest of Spain. Of the total 3,286 million euros spent on R&D, companies invested 2,000 million, 61% of the total, with average annual growth at 9%. The public administration has invested more over the past years, up between 18% (from 2005 to 2006) and 39% (from 2007 to 2008), with total expenditure at nearly 1,000 million euros. An important part of this growth is due to the increase in direct investment from the Government of Catalonia.