Even with the National Development Plan targets firmly in sight, South Africa looks unlikely to reach its target of 1.5% of gross domestic product (GDP) expenditure on research and development (R&D) by 2030.
This, as the latest datasets on the state of the country’s science, technology and innovation (STI) show yet another dip in R&D spend.
South Africa’s R&D investment declined from 0.76% to 0.61%, according to the 2025 South African Science, Technology and Innovation (STI) Indicators Report.
In contrast, Asia is rising, with 46% of global R&D expenditure, and Africa lags, with an average of 3.4 patent applications per million population, and R&D expenditure below 1% of GDP in most countries.
Delivering the report’s findings yesterday, science, technology and innovation minister professor Blade Nzimande said the latest report presents a complex picture of a nation achieving bold milestones, while facing critical challenges.
He expressed concern over SA’s declining global competitiveness and falling R&D expenditure, which are areas that need urgent attention. “Science, technology and innovation is one of the key answers for us to be able to improve our global competitiveness.
“Our gross expenditure on research and development – this should concern all of us – as a percentage of gross domestic product is falling. We were at 0.76% R&D spend as a percentage of GDP; now we’ve gone down to 0.61%.
“The investment of business in R&D remains weak. It concerns me deeply that the business sector’s contribution to R&D fell from 45.9% in 2013/14, to a low of 30% in 2020/21.”
He added that SA needs business to invest in science, technology and innovation. “No country will move forward if it does not invest in this, and business is the biggest beneficiary in advances in technology.”
Compiled by the National Advisory Council on Innovation (NACI) on behalf of the Department of Science, Technology and Innovation, the report is an annual evaluation of the national system of innovation in the country over the 2022/23 period.
The report examines investments in research, development and innovation, STI human resources, innovation in manufacturing, digital competitiveness and the distribution of R&D in provinces. It also provides an evidence-based picture of the country’s innovation system, focusing on strengths, weaknesses and areas requiring urgent attention.
For NACI acting CEO Anneline Morgan, the latest stats showing R&D expenditure as percentage of GDP is a “far cry” from where the country was pre-COVID-19.
“We see that government is investing more than business; the business investment in R&D is declining. In industrialised economies, it’s supposed to be the other way around – the private sector is supposed to be the main driver of investment in research, development and innovation.”
According to Nzimande, health research now accounts for nearly a quarter of all South African R&D expenditure, demonstrating a clear national commitment to tackling disease, improving treatments and building healthier communities.
South Africa is also breaking new ground in space, he stated. “In 2023, we launched nine objects into space, and our universities, particularly the Cape Peninsula University of Technology with its nano satellite programme, are developing the skills and technology that will underpin a future-space industry. This is high-tech industrialisation in action.”
Some woes persist
R&D spend as a percentage of GDP isn’t the only area where the SA trails behind, based on the STI indicators report.
There has also been a decline in the number of science, technology, engineering and mathematics (STEM) graduates, with only 29% of the 225 702 graduates in 2022 being in STEM fields, revealed Nzimande.
“Only 29%...reflects the situation in our schooling system. We’ve been tasked to defeat this fear of science and technology, especially among black communities in our country. Some principals, for example, tell learners not to take up pure maths and should opt for maths literacy, so that they raise the percentage of matric passes. What this is doing is depriving the country of a very important source for its STI ecosystem.”
The lagging uptake of STEM subjects at school has been a thorn in the minister’s side for some time now, with Nzimande repeatedly urging high-quality maths and science education.
He explained yesterday that driving interest in science and technology must start with primary school kids.
The minister also noted that SA’s patent registration is declining, as per the report’s findings.
“We are importing more knowledge than we are exporting. There’s nothing wrong in importing knowledge, but there must be a balance. Our deficit mustn't be too big, because we also need to be producing intellectual property (IP).
“For instance, we paid the rest of the world $1.6 billion in 2023 for the rights to use their IP. We received only $167 million for our own IP. There is nothing wrong in importing knowledge, but we need to be knowledge producers.”
Green shoots
Despite the challenges, the minister pointed out that South African universities are becoming more representative and capable, achieving gender parity among academic staff for the first time since 2022.
Women were 52% of academic staff in South Africa, he stated. The percentage of black academic staff also increased significantly, from 27% in 2010, to 62% in 2022.
Furthermore, the percentage of permanent staff holding PhDs increased from 35.7% in 2010, to 52.5% in 2022.
“I’m pleased that permanent academic staff with PhDs increased. We are more than half now, and we are moving towards the national target of 75%, at least for traditional universities.
“Related to this, our research is becoming more competitive, influential and globally connected. South Africa produced 25 775 scientific articles in 2023, ranking 29 globally and second in Africa behind Egypt.”
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