The World Bank Board of Directors approved a US$ 45 million loan today to strengthen the science, technology and innovation (STI) system in Peru, which will help improve the productivity of companies by innovating processes and products.
The project will support the institutional framework of the STI system to enhance its integration, coordination and efficiency. Specifically, the project will build institutional capacities of the National Science and Technology Council (CONCYTEC, in Spanish), the governing body of the system, and will support the evaluation of the efficiency and effectiveness of programs such as the National Science and Technology Fund (FONDECYT, in Spanish). All institutional actors will receive technical assistance and equipment to improve their information, monitoring and planning systems.
“This project will help Peru raise its level of productivity, which is crucial for continuing down the path of sustainable growth and for reducing poverty and inequality,” said Alberto Rodríguez, World Bank Regional Director for Bolivia, Chile, Ecuador, Peru and Venezuela.
Students, researchers and professionals will receive funds to finance their research and innovation projects, doctoral and post-doctoral studies and internships. Companies will receive investments for innovation projects and for paying for shared services of business clusters. Universities, research centers and technology institutes will be able to finance purchases of equipment, hire top researchers and develop research or technology transfer activities.
Government agencies such as CONCYTEC and Peruvian universities will receive technical assistance and equipment to improve their information, monitoring and planning systems. The project will also establish a productivity and innovation fund and will strengthen initiatives for productive innovation.
The project will also improve conditions to attract world-renowned researchers and will increase the number and quality of doctoral programs. To this end, it will award scholarships and co-financing for researchers with different levels of experience (senior, post-doctoral and associate) through a competitive process.
The US$ 45 million loan will have a maturity period of four years and a repayment period of six years, with a five-year grace grace period.