Israel Spends the Most on R&D as a Share of GDP 💰

Key Takeaways

• Israel spent $28.3 billion on research and development (R&D) in 2023 to reach 6.3% of GDP—more than double the OECD average.
• South Korea falls next in line, with an R&D intensity of 5% of GDP, driven mainly from private sector funding.
• Meanwhile, the U.S. spent 3.4% of GDP on R&D, amounting to $823.4 billion, the highest figure globally.

The R&D Intensity of OECD Countries

Since 2020, OECD countries have spent an average of 2.7% of their GDP on R&D.

Israel stands out globally—not only for leading in R&D intensity, but also for having the highest number of high-tech startups per capita. 

Also seeing among the highest R&D to GDP are South Korea, Taiwan, and Sweden.

In Taiwan, corporate R&D investment rose by 3.7% in 2023, a slowdown compared to the 8.8% annual average over the previous five years—largely fueled by the semiconductor sector.