Thailand has laid out an ambitious plan to enter the top 30 on the Global Innovation Index (GII) by 2030, while the country has climbed one spot to 43rd in the recently released 2021 index. by the World Intellectual Property Organization.
“We have seen an improvement in the innovation ranking, but there is still work to be done to move our ranking into the top 30 over the next 10 years,” said Pun-arj Chairatana, Executive Director of the Agency. national innovation, in a press release. virtual briefing following the Monday release of GII 2021.
GII captures the performance of the innovation ecosystem of 132 economies and follows the latest global innovation trends.
Thailand was ranked third within ASEAN, behind Singapore (8th) and Malaysia (36th). Among 34 upper-middle-income economies, Thailand was ranked fifth.
GII is also divided into seven major categories for ranking.
Thailand is in 64th place in the category of institutions, 63rd in human capital and research, 61st in infrastructure, 27th in market sophistication, 36th in business sophistication, 40th in knowledge and technology production and 55th in creative production.
Thailand’s gross expenditure on corporate-funded R&D (GERD) ranked first in the world – two years in a row. This element is found in the âknowledge workersâ section of the business sophistication category.
âThe most notable indicators of Thailand’s innovative capacity are found in the market sophistication and business sophistication groups,â Pun-arj said.
The enterprise-funded GERD, of which Thailand has held the top spot for two consecutive years, reflects the strong private sector investment in innovation to boost the capacity of enterprises.
Thailand ranked 47th for contribution to innovation, one place higher than last year, and 46th for innovation output, two places lower than last year.
Thailand has also jumped in the information and communication technology section, dropping from the 79th last year to the 60th this year.
The improved rankings reflect state and private sector adjustments in response to the pandemic by leveraging data-driven innovation, Pun-arj said.
To reach the top 30 in the GII ranking, the country needs to collect up-to-date data for such an assessment, Pun-arj said, adding that 16 of the 81 assessment indicators contain outdated data.
Second, the country must ease the regulatory burden and introduce new legislation aimed at boosting investment in startups and attracting innovative businesses, including employee stock option programs, tax incentives. and the innovation sandbox.
Third, more financial mechanisms, such as micro-finance for small and medium-sized enterprises (SMEs) based on innovation, need to be supported.
France, Japan and South Korea have banks offering innovation-driven loans.
âTraditional lending is not the answer for innovation-based SMEs,â Pun-arj said.
Switzerland remains in pole position in the GII ranking, followed by Sweden, the United States and the United Kingdom.
South Korea moved up five places to place fifth and the Netherlands dropped one place to place sixth.
Finland and Singapore remain unchanged in seventh and eighth positions, respectively.
Denmark lost three places to ninth place and Germany lost one place to 10th.