November 10 (SeeNews) - Romania's government said it approved on Wednesday an emergency decree stating that it will contribute 3.4 million euro ($3.41 million) annually to the North Atlantic Treaty Organization (NATO) 1 billion euro Innovation Fund, aiming to boost domestic research and development.
Romania undertook the commitment to contribute to NATO's Innovation Fund at the organisation's summit in Madrid in June, the government said in a statement on Wednesday.
Romania's participation in the fund will boost the development of national research and private companies, which have a strong impact on society and the economy, government spokesman Dan Carbunaru said during a press briefing on Wednesday. At the same time, participation in this fund will encourage the development of new companies and economic sectors related to emerging technologies, he added.
NATO established the Innovation Fund as "the world’s first multi-sovereign venture capital fund" in June.
"With a 15-year timeframe, the NATO Innovation Fund will help bring to life those nascent technologies that have the power to transform our security in the decades to come, strengthening the Alliance’s innovation ecosystem and bolstering the security of our one billion citizens," NATO Secretary General Jens Stoltenberg said at the time.
The fund will invest 1 billion euro in early-stage start-ups and other venture capital funds developing dual-use emerging technologies of priority to NATO, such as artificial intelligence, big-data processing, quantum-enabled technologies, autonomy, biotechnology and human enhancement, novel materials, energy, propulsion and space.
The fund is supported by 22 Allied countries: Belgium, Bulgaria, Czech Republic, Denmark, Estonia, Germany, Greece, Hungary, Iceland, Italy, Latvia, Lithuania, Luxembourg, Netherlands, Norway, Poland, Portugal, Romania, Slovakia, Spain, Turkey and United Kingdom.
In March, Romanian President Klaus Iohannis announced that Romania needs to increase defence spending to 2.5% of gross domestic product from 2%, following the Russian invasion of neighbouring Ukraine.
Romania, which joined NATO in 2004, has said it plans to spend a total of 9.8 billion euro until 2026 to boost its defence capabilities.
($=1.0041 euro)