SINGAPORE: Singapore will invest S$37 billion (US$28.5 billion) – or about one per cent of its economic output – on research, innovation and enterprise over the next five years, announced the National Research Foundation (NRF) on Friday (Dec 5).

Of the total sum, 8 per cent – or S$3 billion – will go towards research, innovation and enterprise in flagships and “grand challenges”, including the semiconductor industry and longevity research. 

Speaking at the press conference announcing the next tranche of the research, innovation and enterprise budget, Senior Minister Lee Hsien Loong noted that Singapore will maintain its investment of about 1 per cent of its GDP in these areas. 

The flagships and grand challenges will be large national programmes with a strong mission focus, he added. 

"Each national programme will develop a coordinated portfolio of research projects to address major challenges in one single important sector or area," said Mr Lee. 

"This will help to focus our efforts and our attention, and create more value and impact." 

The idea of flagships and grand challenges was first announced by NRF chairman Heng Swee Keat in parliament in February, when he was the Deputy Prime Minister. He has since stepped down from politics in the last General Election. 

The flagships will "push for value creation" in key economic sectors and the grand challenges will address national strategic priorities, he said at the time. 

Aside from longevity research and semiconductors, there will be another flagship and grand challenge, which have yet to be announced. 

Speaking at the press conference, Mr Heng said that while what Singapore is investing in research, innovation and enterprise is significant, it is "a small fraction of what the whole world invests". 

"So it is critical for us to collaborate strategically, to partner with the best institutions and industry here and abroad," he added. 

Singapore is committed to investing about 1 per cent of its GDP in research, innovation and enterprise, NRF noted. The country spent S$28 billion in this area from 2021 to 2025, S$3 billion more than initially projected. The additional funds came from a mid-term top-up.

Over the next five years, Singapore will strengthen and expand collaborations with leading researchers and institutions around the world, said NRF in a press...