Innovation Europe > News > Innovation EU Vol1-1 > Czech Republic

The Czech Republic is currently undergoing a transition from an efficiency-driven economy to an innovationdriven economy and innovation is therefore becoming the main competitiveness advantage of the Czech economy.  According to the EIS 2008, the Czech Republic has been ranked in the overall innovation performance within the group of moderate innovators. In terms of dynamics, the overall innovation performance has been improving and the Czech Republic has been slowly but steadily converging to the EU-27 average.

At the level of the key dimensions of innovation performance in 2008, the Czech Republic ranks among the leading countries in economic effects, especially in employment in medium to high-tech manufacturing and medium to high-tech exports. Further relative strengths, compared to the country’s average performance, are in Firm Investments and Innovators.

Main innovation policy challenges

• Weak co-operation between research sector and industry, which results in lack of linkages in the process of creation, transfer and utilisation of new knowledge.
• Lack of researchers and S&E graduates, which can negatively influence the further development of a knowledge-based economy in the Czech Republic. The lack of qualified research staff has already become an essential limiting factor in further development of industrial R&D.
• Insufficient utilisation of IPR protection, which has a negative effect on the commercialisation of R&D results and transformation of new knowledge into innovation.

Action

In terms of fulfilling particular tasks of the NIP, expected future actions will be steered towards institutional changes in R&D and innovation governance. The new policy mix proposed in the Reform of the Research, Development and Innovation System in the Czech Republic should be more effective due to the co-ordination of policy actions and a more intensive inclusion of the private sector in joint public-private research projects. Currently, a new direction for innovation policy is being formulated. In addition, setting a new direction for RDI policy in the Czech Republic is being accompanied by the reform of the higher education system, as proposed in the White Paper on Tertiary Education.