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China’s Research and Development Funds Misused

On August 1, 2013, People’s Daily reprinted a report from Guangdong Yangcheng Evening News (Yangcheng Wanbao) stating that a major share of the nation’s R&D funds is used for conferences and travel. 

At a press conference, Wang Dong, Deputy Mayor of Guangzhou, reported, “Of all national scientific and technology research and development funds, only about 40 percent is truly spent on R&D. The remaining 60 percent is spent on conferences, travel, and other matters.”  

The remarks were made in response to earlier reports. Guangzhou officials in charge of R&D had been investigated due to corruption charges. Wang responded, “So many incidents have occurred in this field. It must have something to do with our system.” Wang stated that governments at all levels in China have spent large amounts of funds on R&D. As most Chinese enterprises do not conduct independent R&D, there is an urgent need for reform to assure that the R&D funds are used effectively. 

Source: Guangdong Yangcheng Evening News (Yangcheng Wanbao) reprinted by People’s Daily, August 1, 2013