The effectiveness of the funding system ultimately depends on people
In Finland, increased public investment in research and development has been introduced to accelerate the innovation funding system. The allocation of these investments is widely debated – and for good reason – but it’s increasingly clear that funding alone is not enough. We need people.
A significant share of R&D investment goes to payroll expenses, which translates into a growing demand for research professionals. The Finnish startup community has raised the issue, estimating that up to 25,000 new persons will be needed in Finland by 2030. Achieving this goal will require not only more domestic training but also attracting international talent and returnees. the recent doctoral pilot program is a step in the right direction.
However, the equation is not simple. According to a recent report by Sitra, Finland is approaching a demographic turning point: without successful immigration, the number of working-age people will start to decline permanently in the 2040s. Studies show that while some foreign PhDs stay in Finland after graduation, many continue their careers elsewhere. Finland also ranks relatively low in international comparisons of talent attractiveness and preferences. This is about both pull and retention – or the lack thereof.
In 2024, we launched a new funding instrument: Tandem Industry Academia (TIA) Seed. It gives researchers who have recently moved to Finland the opportunity to network and collaborate with Finnish companies early in their careers. The first funded projects show that this combination – internationalising research and domestic industry – is not only possible but also highly promising from an innovation perspective. It allows us to bring high-level expertise to Finland and integrate it into our economic structures through research.
It is essential that we build models and systems in Finland that not only attract talent but also help them establish roots and careers here. The new TIA Seed projects funded by the Foundation combine cutting-edge research, real business needs, and mutual learning. At the same time, collaboration with companies supports researcher retention by creating networks and continuity in their research careers.
The efficiency of a funding system is not based solely on euros or programmes, but on the ability of the right people to meet at the right time. This is where our Foundation has a role to play: as an enabler, connector and pathfinder.
Petro Poutanen, CEO
Finnish Research Impact Foundation
