A new Milken Institute report, to be issued today at the Israel President's Conference in Jerusalem, claims that Israel’s life sciences industry could become an important growth engine for the Israeli economy within the next decade, producing companies that compete on a global scale.
However, according to the report, Israel needs to invest sufficient capital and resources in its life sciences sector, and it lists three specific financial and regulatory objectives.
It explains that the development of the industry needs to be a national priority; the industry needs a $2-billion dollar investment within the next three years; and that public-private partnerships to sponsor a structured finance vehicle are required to provide the necessary investment for the industry.
“In order to turn this industry into a national asset, we need to dramatically increase access to capital, and the best way to do that is collaboration between the private and public sectors, “ said Milken Institute director of capital studies Glenn Yago. “Israel also needs structure, including a national food and drug administrative body to regulate clinical and genetic trials. This kind of regulatory certainty will encourage biotechnology firms, pharmaceutical companies and philanthropic funds to invest in Israeli projects at different stages.”
According to the report, Israel’s biotechnology industry currently faces the problem of the flight abroad of human, intellectual, and financial capital.
Leaders of Israel’s life sciences industry, together with policy makers and researchers, will convene today for a special panel at the Israel President's Conference to discuss ways to turn research and development into a successful global industry. Panel participants include the Milken Institute's Glenn Yago, Chief Scientist Dr. Eli Opper, Professor Shlomo Ben-Haim, and Professor Manuel Trachtenberg.
Published by Globes [online], Israel business news - www.globes-online.com - on May 15, 2008
© Copyright of Globes Publisher Itonut (1983) Ltd. 2008