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2011 SME R&D Support Budget To Rise 12.1%   

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A historic high budget is expected in 2011 for R&D projects of green SMEs, etc. On November 28, SMBA revealed that it has confirmed its 2011 budget for SME technology development projects at 628.8 billion won, up 12.1% from 2010.

The budget submission is interpreted as SMBA's strong determination to enhance the technological competitiveness of SMEs due to the fact that it is the highest-ever exclusive R&D budget for SMEs.

Most of the budget was carefully earmarked to strengthen the competitiveness of future fruit, including new growth engine businesses. Funds representing 50% of the budget will be invested in technology development of future core fields, such as green (124 billion won), high-tech convergence (97 billion won) and manufacturing infrastructure (93 billion won).

In particular, the budget for development of fusion & convergence technologies and site greenization is increased to 23.4 billion won and 40 billion won, respectively. Support for SMEs at the initial start-up stage also will expand to 95 billion won in 2011 from this year's 75.6 billion after conversion of the previous start-up/incubation technology support projects.

SMBA explained that it has established a clearer support system in terms of corporate growth stage by increasing the budget for innovative SMEs (156 billion won) and also for global enterprises (50 billion won). In addition, SMBA also newly added R&D funds to strengthen support for cooperation between SMEs and universities & research institutions and also to pursue private sector-government joint investments.

A related official said, "SMBA will expand the SME R&D budget to 6% of the nation's total R&D budget by 2013 on a gradual basis in accordance with the 'Five-Year SME Technology Innovation Plan' established last year."

2011 SME R&D Budget Bill

(Unit: 100 million won)

-------------------------------------------

Sector 2011

-------------------------------------------

R&D Planning Capability Innovation 50

-------------------------------------------

Tech Innovation & Development 2,206

-------------------------------------------

Start-up & Growth Techs 950

-------------------------------------------

Fusion & Convergence Techs 234

-------------------------------------------

Site Greenization 400

-------------------------------------------

Industry-Academia Cooperation Techs 1,197

-------------------------------------------

Common Utilization of R&D Equip. 357

-------------------------------------------

Development of Commercialization Techs 900

------------------------------------------

Total 6,288

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