In an effort to increase the investments flowing towards the private sector's research and development projects, a government board in India created a guideline including provisions for Micro, Small, and Medium Enterprises or MSMEs. The campaign aimed to make intellectual property considered as an asset for fundraisers in the future.
These new measures came after Indian Prime Minister Manmohan Singh expressed his disappointment over the sector's "lack of enough private sector participation in scientific research and development activities."
The Prime Minister said that this was the cause of India's failure to become a scientific powerhouse.
The panel of government officials suggested tax benefits on businesses that make placements for procuring intellectual property rights. This is said to prompt the private firms to separate their funds for research and development.
The group continued to say, "A special credit guarantee scheme may be provided by the government to banks and financial intuitions to consider IP as a mortgage-able asset."
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