Strong Increase in Innovation Spending by Austrian Companies in the Second Year of the COVID-19 Pandemic

The results of the December 2021 WIFO-Konjunkturtest (business cycle survey) show that Austrian companies expanded their innovation spending in 2021. However, the still unfavourable economic environment has led to restraint in the introduction of new products. The persistence of the COVID-19 crisis is likely to have hit the innovation activity of small and medium-sized enterprises in particular.