Technology diffusion remains low and few indigenous firms are committed to innovation. Are there gaps in delivery where performance could be improved? For example, while the three Asian newly industrialised economies (NIEs) - Singapore, Korea and Taiwan - have reached GERD/GDP intensity ratios that are on par with G5 countries (USA, Japan, Germany, France and UK), the R&D spending intensity in Malaysia is significantly lower at 0.63% of the GDP in 2006, considerably below the OECD average. Business expenditure in R&D is also relatively modest (0.45%) and below most European countries.