France Progresses Towards Becoming a “Startup Nation”
Soft power refers to the ability to shape the preferences of others through appeal and attraction. France is now the world’s number one soft power according to the Soft Power 30 index, overtaking the US and Britain from previous years. Since Brexit and the Trump election, favourable international perceptions of the UK and US appear to have lessened.
The Soft Power 30 index looks at global non-military influence, such as a country’s perceived capacity for economic innovation, foreign policy, digital engagement and more. One of the leading factors in the result is undoubtedly the agenda of new President Emmanuel Macron, whose key goal is to increase French innovation. One of his first moves was to introduce a new tech visa and invite entrepreneurs from around the world to, “Work with us on green technologies, food technologies, artificial intelligence, on all the possible innovation.”
Macron is keen to cement France’s position as a “startup nation” in order to keep up with the rapid pace of technological and innovative global change. Earlier this month, it was announced that the French Government would pledge €10 billion for an innovation fund to make France a more entrepreneurial country. French Finance Minister Bruno Le Maire said that investing in disruptive innovation will help France to compete with other large economies.
It appears that France is already off to a good start. According to EY, the nation ranks second in Europe for venture capital fundraising and in January, Facebook announced that it would open its first start-up campus in Paris.
Innovative companies undertaking research and development may be eligible for the R&D Tax Credit or Innovation Tax Credit as well as a deduction for R&D expenditure. To find out whether you qualify, contact our experts at Swanson Reed R&D Tax Advisors.