Dutch Government Sets Ambitious R&D Investment Target
The Hague, Tuesday, 15 July 2025.
The Netherlands aims to raise R&D investments to 3% of its GDP to enhance innovation, addressing its lag behind neighboring countries with strategic policies to attract private investments.
Background and Objectives
The Netherlands, recognizing the need to enhance its competitive edge in innovation, has unveiled an ambitious plan to increase its research and development (R&D) investments to 3% of GDP by 2030. This initiative addresses the country’s current lag behind neighbors like Germany, Belgium, and Sweden, which have already met the European Union’s suggested target of 3% R&D expenditure relative to GDP [1]. Without additional policies, the country’s R&D intensity could fall to around 2% by the end of the decade, potentially leading to a structural investment shortfall exceeding €12 billion annually [1].
Strategic Implementation
The action plan emphasizes the importance of fiscal strategies to boost private R&D investments. One key component is the improvement of the WBSO program, which aids businesses in financing their research initiatives. The government plans to reduce administrative hurdles and expand program access to small and medium-sized enterprises (SMEs) [1]. Additionally, a national investment institution is being considered to encourage greater private sector R&D spending, while a new EU co-financing facility is under exploration to support greater participation in European innovation projects [1].
Innovation Support Structures
To foster a cohesive innovation environment, the government also aims to refine existing innovation instruments. This involves reducing program fragmentation and maximizing knowledge utilization for higher efficiency. Innovation vouchers and expanded public-private collaborations are being evaluated to give SMEs better access to innovation resources [1]. This reflects a broader strategy to integrate the nation’s efforts in digital transformation and green technologies, crucial sectors highlighted by the government [1][2].
Anticipated Outcomes
Through these policies, the Dutch government seeks to secure a robust foundation for future prosperity and economic resilience. Enhancing R&D capacity is not only seen as a pathway to economic growth but also as essential for safeguarding public services and fostering high-quality innovation [1]. As such, the Netherlands aims to not just match but potentially exceed the standards set by its European counterparts, placing itself as a leader in pioneering industries [2].