Secretary of knowledge-based economy, technology and science development headquarter believes that the sustainability of knowledge-based economy depends on venture capitals in the area of science and technology.

According to the public relations and information center of the Vice-Presidency for science and technology affairs, Parviz Karami, secretary of knowledge-based economy, technology and science development headquarter, was the guest of the TV program of “Charkh”, broadcasted on Channel 4 of IRIB, and talked about “knowledge-based economy” stating: knowledge-based economy is a new type of economy in our country expressed in advanced countries. In other words, this is a new method for increase and acquisition of wealth from science and technology. This type of economy is usually turned into the main economy in countries, where the main focus is on knowledge and related elements and indicators.

Advisor to the vice president for science and technology added: however, this type of economy has recently been started in the country and is being developed. We hope that the required human resource and infrastructures exist in the country in order to turn our economy into knowledge-based economy in the near future.

Karami pointed out: the concept of knowledge-based economy has been introduced to the country for less than 10 years. Nevertheless, the topic of knowledge-based economy is proactively widespread after the approval of establishment of knowledge-based companies in the parliament in 2010. Before that, knowledge-based economy was assessed in limited groups, such as nanotechnology development headquarter. During that time, knowledge-based economy was relatively new and was discussed in a few academic units. After the confirmation of this plan, knowledge-based economy became more public and turned into a kind of dialogue.

He explained: however, this approval was not operated until 2013. In that year, the plan was carried out by the government, and it could be stated that despite the presence of 10 knowledge-based companies at the beginning of the 11^th government, this law was executed by the workgroup of the Vice-Presidency for science and technology affairs and other ministries defined under the mentioned law. 

Secretary of knowledge-based economy, technology and science development headquarter pointed out that today, three thousand and two hundred knowledge-based companies exist, which is indicative of the execution of this law. In this regard, he marked: about six thousand companies have registered on the system of knowledge-based companies and are passing their approval stage so that they could obtain the title of knowledge-based for their enterprise.

He also regarded startups, science and technology parks, universities, growth centers, accelerators and venture capitals as the main players of this field, adding: depending on their type of interaction with knowledge-based economy, these centers are considered as the main players of this area, and their growth can help the development of knowledge-based economy in the country.

According to Karami, active sections of the economy can be involved with knowledge-based economy.

He explained: convergent sciences and technologies, such as bio, nano, information and communication technology, cognitive sciences and social sciences, are more involved in this field and have more knowledge-based companies.

Secretary of economy, technology and science development headquarter regarded creative and experienced human resource as the main pillar of knowledge-based economy, asserting: if there is a high number of high-quality human resource with the required abilities, the basis of knowledge-based economy exists in that country. However, the presence of infrastructures and other issues also help the development of knowledge-based economy. Nevertheless, the main part of knowledge-based economy is experienced human resource.

Expressing his content about having this valuable resource in the country, Karami stated: when there are five million university students and 20 million graduates, it means that the main issue of policy makers is to provide a solution for optimal use of this human resource.

Karami continued: the knowledge-based companies, startups, and growth centers established in this area have been able to perform the most preliminary task, which is gaining the trust of human resources, and established companies, which are the result of use of the same resource.

Pointing out the necessity of formation of technology and entrepreneurship ecosystem, Karami expressed: in this ecosystem, some players must exist to establish related companies and knowledge-based economy through improvement, support and teaching of the resources.

According to the secretary of knowledge-based economy, technology and science development headquarter, we have the main basis for training of human resources, which is our universities. The universities of Iran are ranked first in the region.

He added: the next stage is science and technology parks of growth and innovation centers to turn ideas into products and form the cycle of commercialization. According to Karami, there are high-quality science and technology parks in 31 provinces of the country. We even have two parks in some provinces.

Karami regarded growth and innovation centers as another loop of this chain, adding: growth and innovation centers are based in our universities and perform their duties in areas of guidance, attraction, improvement and education of specialists.

He continued: another player of this field is accelerators. While this centers have a good position, they need to increase in various fields. In addition, venture capitals are new helps added to this chain since last year. Individuals, companies and institutes that are recognized by startups or growth centers obtain their assets and receive guidance from the venture capitals.

Venture Capitals in Area of Science and Technology Cause Sustainability in Knowledge-based Economy

Karami added: the Vice-Presidency for science and technology affairs will financially support the companies and individuals, who invest in various scientific fields.

He also expressed that the economy of Iran has acceptable assets and properties, affirming: in a traditional manner, these properties are invested in places that their final effect on the environment of economy is not clear. For instance, people tend to invest their assets more in houses and lands, which disrupts the rhythm of the market and has no added value for our national economy.

Advisor to the vice president for science and technology affairs added: the majority of those entering venture capitals of science and technology and knowledge-based areas in fact help the sustainability of knowledge-based economy and significantly benefit from this region.

He also asserted: it might be possible that some people that enter the venture capitals repeatedly invest in startups and fail. However, success in such businesses will result in significantly high outcome and compensation of losses.

Secretary of knowledge-based economy, technology and science development headquarter pointed out the players of this field, marking: knowledge-based companies and innovation centers are the most important players of this field, helping the expert human resource recognize their true value and being associated with an economic output for the country by creating wealth from science and technology.

According to Karami, there was a time when there was no market to attract creative individuals and inventors with ideas. However, these individuals and companies can be recruited by knowledge-based companies and startups in the business market.

Advisor to the president of national science foundation expressed: one of the tasks of the Vice-Presidency performed with the help of the national science foundation is creating the system of recruiting non-resident specialists. Over the past year, the mentioned organizations were able to recruit people from 400 top universities of the world, which is unfortunately reduced to 100 universities of the world now due to budget constraint.

Advisor to the vice president for science and technology affairs stated about the statistics on recruited experts by the system: over two and a half years, 800 non-resident academic expert have returned from 100 top universities to Iran and have initiated their activities in knowledge-based companies or scientific and academic centers.

Karami also expressed: however, the more the knowledge-based companies in the world, the greater their profitability will be. In addition, the occupation creation statistics of the country will also be improved.

Secretary of knowledge-based economy, technology and science development headquarter stated about the law for support of knowledge-based companies: an assessment and accreditation workgroup for knowledge-based companies has been formed in the Vice-Presidency, consisting of various ministries, such as industry, science, health, defense and venture capitals, and its secretariat is also established in the Vice-Presidency.

According to Karami, specialized committees are subcategories of this workgroup, which are active in various technical, scientific and engineering fields.

In another part of the interview, Karami stated: specialized committees also have companies and individuals as their brokerages, that assess the qualification of the company or product in order to reject or confirm them. If they are approved, they will receive the title of knowledge-based and can benefit from various supports.

Karami also pointed out: recognition of knowledge-based companies has been initiated since less than a decade ago. Therefore, knowledge-based economy must be turned into common dialogue in the country so that all people could learn about this concept in order to make knowledge-based economy the main economy of the society. 

The advisor to the vice president for science and technology added: the knowledge-based economy, technology and science development headquarter has been established for the same purpose in order to help promote this ecosystem with subnational, legal, and academic institutions and knowledge-based companies. This headquarter provides social support for knowledge-based economy through culture building in the society.

Pointing out the aids by the national media for promotion of technology ecosystem in the country, Karami asserted: fortunately, IRIB has had a significant effect on preparing the public for this type of ecosystem. The number of programs related to knowledge-based science, technology and economy has multiplied in IRIB in the past few years. 

118 Difference Programs of the Vice-Presidency for Science and Technology Affairs to Support Knowledge-based and Technological Companies

Karami continued: however, application of media, cyberspace, student environments and social networks has had positive impacts on this matter, in a way that today, even in science and technology parks individuals need the cyberspace and social media to introduce themselves and sustain the improvement of their company with the support of the society.

In terms of the importance of use of information technology infrastructures in development of culture of knowledge-based economy, stating: in order to exploit the massive and refined information, we need to use the infrastructures of information technology and ICT.

Karami mentioned the extended market of information technology and digital contents, expressing: service provision has been extended in various areas by social networks and applications and based on the information technology platform. In addition, use of information technology is not merely limited to the use of internet platform and extends the market. The wide platform of information technology has caused diversity and has increased the market.

Advisor to the vice president for sicence and technology affairs pointed out the wide range of programs of the Vice-presidency regarding the laws to support the growth of knowledge-based companies, adding: fortunately, 118 various programs and services have been defined to support technological and knowledge-based companies, which will gradually increase.

Stating the fact that the mentioned supports are provided according to the law and based on the interactions between the Vice-Presidency and other executive organizations, affirming: the Vice-Presidency for science and technology affairs acts as the symbol of support of the knowledge-based companies by government, discussed by the private sector. For instance, with the cooperation of the ministry of economic affairs and finance, knowledge-based companies are included in the tax-exempt law, or those with the intention of import or export can use tax exemption by the agreement of the Iranian customs.

Advisor to the vice president for science and technology affairs continued: in addition, by signing agreements with the municipality of Tehran, knowledge-based companies based in this megacity can be established in buildings with housing purposes while adhering to the required instructions and conditions. Moreover, an agreement is signed between the national elites foundation and armed forces, key individuals of knowledge-based companies can spend the time of their obligatory military service in the company according to the previous definitions and coordination.

Karami regarded the introduction of knowledge-based products in TV in cooperation with IRIB, stating: IRIB has cooperated with knowledge-based companies to advertise their products. For instance, there is a special part in Iran Kala and other networks allocated to introduction of knowledge-based products free of charge. Moreover, other networks will broadcast advertisements for knowledge-based products with discounts and promotional advertisements.

He added: knowledge-based companies can refer to the website of the Vice-Presidency or knowledge-based system to learn about these supports.

Secretary of knowledge-based economy, technology and science development headquarter pointed out the growth of innovative businesses and their role in our economic structure, affirming: there are creative and innovative companies alongside knowledge-based companies, which while might not be developed enough to receive knowledge-based license, have innovative features. In this regard, the Vice-Presidency for science and technology affairs has initiated a new act to support these creative companies.

He continued: while there will be a limited type of support provided for the mentioned companies, the importance of these enterprises will be highlighted with the help of culture building and informing by related organizations and units.

Mentioning the formation of support outlines from these companies. Karami marked: verification of quality of these companies requires the creation of a workgroup and instructions, which is on the agenda of the Vice-Presidency.

According to Karami, marketing for knowledgeable companies is another support by the Vice-Presidency. In this regard, he conveyed: presence of market for any type of business is the most important necessity that guarantees the continuity of this path. Therefore, the Vice-Presidency for has aimed to cooperate with other organizations to form a market for knowledge-based companies in Iran and other countries.

 

Advisor to the vice president for science and technology affairs affirmed that the Iranian market with its 80 million capacity is a good foundation for playing of the roles of these companies. In this regard, he expressed: however, this 80-million market is limited and we need to think of a regional market for these companies. Therefore, the corridor on the export of knowledge-based products and actions of the Vice-Presidency for science and technology affairs has been formed with the help of other ministries, so that these businesses could be present in the Iranian market at first, followed by regional and international markets.