ABSTRACT
This chapter reviews some of the issues involved in financing the development of endogenous scientific and technological (S&T) capabilities in Third World countries and examines several mechanisms that have been established or proposed to this effect. It discusses briefly the types of S&T activities to be financed, a variety of national financing schemes, and possible international funding mechanisms, suggesting in broad outline the arrangements that would be required to generate and channel additional funds. Financing the development of endogenous S&T capabilities is primarily a national responsibility and a task for the state in the Third World countries. The specificity of the new financing system can be appreciated more clearly if a difference is established between programmes and projects aimed primarily at the building of endogenous S&T capabilities and those aimed at solving specific development problems through the use of science and technology.
