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US drastically cuts 'indirect' spending on scientific research

Công LuậnCông Luận09/02/2025

(CLO) The US medical research oversight agency has just announced a decision to significantly cut funding for universities and research centers, especially indirect expenses such as "administrative management".


The US National Institutes of Health (NIH) said Friday night that it will impose a 15% cap on funding for "indirect" or administrative costs related to research.

my cat reduces indirect costs in scientific research figure 1

NIH points out that 9 out of the total $35 billion in scientific research budget in the US in 2024 is spent on administrative activities that do not bring "direct value". Screenshot.

This marks a significant reduction, equivalent to billions of dollars, compared to the current indirect fee, which some organizations are charging as much as 60%.

“This change will save more than $4 billion per year and is effective immediately,” NIH posted on the X platform. The agency stressed that this is “necessary to ensure that the maximum amount of the budget is spent on direct scientific research costs.”

The cuts include maintenance, equipment and administrative costs at research laboratories. Scientists warn that the decision could negatively impact research on diseases such as cancer and neurodegenerative diseases such as Alzheimer's and Parkinson's.

“This is definitely a way to stifle life-saving scientific research and innovation,” said Matt Owens, president of the Council on Government Relations COGR, which represents academic research institutes and university medical centers.

On Saturday, the White House defended the decision, saying it helps bring indirect cost rates in line with private funds.

"NIH has announced a new policy on indirect costs, which aligns with the level of funding that research organizations receive from private foundations," according to a statement from the US government. "This indirect cost rate is intended to cover operating costs, and the federal government has been paying an excessively high rate for some time."

The NIH announcement was welcomed by billionaire Elon Musk, who is leading an effort to drastically cut federal spending.

Some Republican lawmakers also supported the move, predicting that the biggest impact would fall on prestigious research universities like Harvard, Yale and Johns Hopkins.

Cao Phong (according to BBC, CNBC, The Guardian)



Source: https://www.congluan.vn/my-cat-giam-manh-cac-khoan-chi-gian-tiep-trong-nghien-cuu-khoa-hoc-post333659.html

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