The Australian Government is now operating in line with Caretaker Conventions, pending the outcome of the 2025 federal election.

Science and research data

Science and research are essential for achieving economic growth, driving productivity, and improving national prosperity. In addition to creating new knowledge, research activity drives skill development.

Total business expenditure on R&D (BERD)

This chart shows total spend by businesses on research and development activities. Business expenditure on R&D (BERD) has been increasing since 2015-16, peaking at $20.6 billion in 2021-22 (ABS 2021-22). 

Figure 1: Business expenditure on R&D (BERD), $ billion, latest 2021–22

Business expenditure on R&D (BERD) by industry

This chart shows BERD for the four industries with the largest BERD. The two industries with the highest BERD in 2021-22 were Professional, Scientific and Technical Services, and Manufacturing (ABS 2021-22). 

Figure 2: Business expenditure on R&D (BERD), top 4 industries, $ billion, latest 2021–22

Business expenditure on R&D (BERD) as a share of GDP

This chart shows BERD as a percentage of GDP over time. Australia’s BERD has declined as a percentage of GDP over the last 13 years, reaching 0.88% of GDP in 2021-22 (ABS 2021-22). 

Figure 3: Business expenditure on R&D (BERD), share of GDP, %, latest 2021–22

Government expenditure on R&D (GOVERD) by type of activity

This chart shows government expenditure on R&D, as state or territory expenditure and Australian Government expenditure by type of activity. In 2020-21, government expenditure was highest in applied research, followed by strategic basic research (ABS 2020-21). 

Figure 4: Government expenditure on R&D (GOVERD), by type of activity, $ million, latest 2020–21

Gross expenditure on R&D (GERD) as a share of GDP

This chart shows aggregate expenditure on R&D across all sectors of the economy – business, government, higher education and non-profit – among OECD countries. Australia ranked 22nd for gross expenditure on R&D as a share of GDP, below the OECD average (OECD 2023). 

Figure 5: Gross expenditure on R&D (GERD), share of GDP, OECD countries, per cent, latest 2021-22

References