In ten years, Belgium has risen from the average to the top of the European Research & Development ranking. From 2009 to 2019, R&D spending rose from 2 per cent to 3 per cent of GDP. “This is an excellent performance that puts us in the top five in the world and third in Europe,” explains Flora Burkic, Country Manager Belgium at FI Group.
We owe this paradigm shift mainly to the investments
by Belgian companies to boost their R&D. “A recent study shows that companies account for around 75 per cent of R&D investment, far more than the government and higher education.”
In this way, they also contribute to job creation, both in terms of researchers (44,133 jobs) and technical and logistics personnel (23,393 jobs). Innovation is also on the rise in Belgium.
But we should not forget that these encouraging figures are largely due to the effectiveness of the various tax incentives enjoyed by companies in our country. Between the partial exemption from withholding tax for researchers, the increased investment deduction, the IPBox, as well as various subsidies such as the GREEN investment aid, among others, it is almost impossible for a company not to find something it can benefit from.
“To be eligible for tax breaks or subsidies, the company needs to review the overall management of its own operations in the short term,” Flora Burkic continues. Indeed, this will improve its long-term performance and competitiveness. “By aligning their R&D&I funding strategy with their overall business strategy, executives can make better decisions and anticipate their company’s future.”
