Classification of research and development funder and performer sectors

• 5 - Foreign funding

51 - Foreign business enterprise

This sector consists of: "All institutions and individuals located outside the political frontiers of a country except for vehicles, ships, aircraft and space satellites operated by domestic organizations and testing grounds acquired by such organizations.

This sector also includes international organizations whose facilities and operations are situated inside the borders of a country. Foreign-owned subsidiaries are not included in this sector (e.g., Ford Canada is, for the purposes for measuring R&D expenditures, a domestic organization in the Canadian business enterprise sector, even though its parent company is the Ford Motor Company of the United States).

The Foreign sector is included in the GERD only as a funding sector (see matrix), since by definition the GERD includes R&D performed within a country and funded from abroad but excludes payments made abroad for R&D. Thus, funding from the foreign sector is implicitly included in the intramural expenditures of the four performing sectors.