Some €16.1 billion flowed into research and development (R & D) in Austria last year, according to Statistics Austria. In their April 2024 estimate, statisticians had expected about €16.6 billion. Because R & D spending grew by 5.5 percent—well above the 1.8 percent growth of nominal GDP—the so‑called R & D intensity hit a record high of 3.35 percent of GDP.

R & D intensity is a key gauge of a country’s innovative capacity and naturally fluctuates with GDP. After surpassing 3.2 percent in 2020 and 2021, it dipped slightly to 3.18 percent in 2022 as the economy recovered—making last year’s 3.35 percent an all‑time peak.

The government programme commits to raising R & D intensity further to 4 percent of GDP by 2030. However, Statistics Austria notes that without a finalized 2025 federal budget the year’s trajectory remains unclear.

In absolute terms, R & D outlays reached €16.132 billion in 2024—nearly €1 billion more than in 2023 (€15.29 billion). Domestic firms financed 49 percent (€7.9 billion), while public funding rose to €5.6 billion (34 percent). Some €2.6 billion came from abroad, largely intracompany transfers to Austrian subsidiaries. Tax‑incentive payouts under the R & D premium also contributed over €1.1 billion.

At 3.23 percent in 2023 Austria already ranked among the EU’s top performers—behind only Sweden (3.57 percent) and Belgium (3.32 percent)—while the EU average was 2.22 percent. Transport Minister Peter Hanke (SPÖ), responsible for parts of the research portfolio, hailed the rise as encouraging yet urged more targeted measures to hit the 4 percent goal.

Industry and the economy ministry echoed the call: R & D intensity must climb further to help Austria escape the “mid‑tech trap,” boost high‑tech exports, and foster new pioneering companies.