Research and Development (R&D) expenditure is the money spent on creative work undertaken on a systematic basis to increase the stock of knowledge and the use of this knowledge to devise new applications. Generally, funding is needed to support the R&D Infrastructure, Human Resource Capacity Development, and for Operations.

As a public sector research organization, CSIR is primarily funded by government. In addition, CSIR receives modest financing support from donor agencies, as well as internally generated funds (IGF) raised through commercialization activities. Globally, however, contributions from donor and private sector agencies constitute a significant proportion of R&D financing in addition to that of government.

he CSIR and other scientific institutions in the country have been below expectations. Donor funding continues to dwindle while private sector support is almost non-existent.

As a way to overcoming the perennial R&D financing gap, the CSIR Act was amended in 1996 (Act 521) to introduce several distinctive features, which include an emphasis on private sector involvement and the integration of market principles into the Council’s operations through the commercialization of research. CSIR was, therefore, expected to generate a portion of its income through the sale of its products and services and to establish a system of contract research.

In spite of the best efforts of management, scientists and staff of CSIR, the general economic situation in the country has made it extremely difficult for CSIR to secure financing to efficiently and effectively carry out its operations. Simply put, the funding required by CSIR to fully execute its mandate and carry out relevant activities is lacking.

To salvage the persistent lack of resources, management and staff of the CSIR have found it necessary to establish this Endowment Fund to ensure sustainable source of funding to support its operations.