Taipei, Oct. 22 (CNA) President Chen Shui-bian said Wednesday the government will raise the ratio of research and development (R&D) funds to the nation's gross domestic product (GDP) from the current 2.16 percent to 3 percent in two years.
Speaking at a meeting of the ROC General Chamber of Commerce, Chen said that during the era of knowledge-based economies, innovation is pivotal to sustain a country's competitiveness.
Against this backdrop, Chen said, his administration will continue R&D investment to boost the development of high-tech and high value-added industries.
In two years, he said, annual R&D funds will account for 3 percent of Taiwan's GDP, compared to 2.16 percent at present.
Chen further said he is fully aware that local business groups are concerned about the developments in cross-Taiwan Strait relations. He said his administration will continue promoting constructive cross-strait interactions in a gradual and pragmatic manner.
The government will push for the opening of direct cross-strait transportation links with great patience and with the best possible preparations, he said. If he is re-elected next year, Chen said, he will make every possible effort to start negotiations and consultations under the principles of "parity, respect and cooperation."
Chen also cited reports by various world-renowned market research organizations to show that the Taiwan economy has regained momentum and has one of the world's best investment climates.