Singapore plans to reduce guaranteed funds for biomedical scientists in order to increase the return on investments. Currently, the Agency for Science, Technology and Research guarantees 100% funding. Under the new policy, which takes effect April 1 and will be in place for at least a year, Singapore’s biomedical research institutes will vie for 30% of government funds. The country’s SGD 16.1 billion ($12.3 billion) budget for R&D in the next five years is about 20% more than what the government contributed over the previous five years. The percentage of such funds devoted to producing economic results will rise from 65% to 70%. A SGD 1.35 billion ($1 billion) grant for projects on “industry alignment” has also been created. Biology, health and medical research will receive SGD 3.7 billion ($2.8 billion), a 12% increase. Beginning in 2011, Singapore will give companies a 250% tax deduction on the first SGD 300,000 ($231,400) spent on R&D investments and 150% for the remaining cost.

Source: Bloomberg