Investment on R&D

Investment on R&D

This is to measure the research and development expenditures and areas for product development.

Sub-index Value 

Present: 126.6

Expected: 124.1

The Investment on R&D or Product Development sub-index is 26.6% higher than 2018-19 and is expected to drop by 2% in 2020-21. The downturn can be attributed to FinTech companies lowering their investment on R&D or product development. In 2019-20, FinTech companies mainly spent their R&D or product development expenditure on Customer experience (59.3%), AI, big data and machines/deep learning (44.4%) and Mobile solutions (33.3%).

Other Results

For the likelihood of conducting Research and Development (R&D) of the companies. It can be observed that all companies in this study will conduct R&D, through either in-house or contract-out activities or both. Among them, 37% of the companies will conduct both in-house and contract-out R&D activities. The other 52% of them will only conduct in-house activities and the remaining 11% will neither conduct nor contract out any in-house activities.


The top three areas of Research and Development of the companies are Customer experience, AI, Big data analytics and Machine/Deep learning, as well as Mobile solutions.