The European Commission has approved a German aid scheme for research in, and development of, new products and technologies in Saxony. The aim of this scheme is to stimulate research and development in the field of future technologies by and for SMEs. Universities and other non-university research centres will work together with industry to use the available research and development potential and stimulate the transfer of technology for the development of new products and new production techniques. The technologies concerned are: - Material science; - Physical and chemical technology; - Biological research and technology; - Micro-systems techniques; - Information techniques; - Production techniques; - Energy techniques; - Environmental techniques; - Medical techniques. The budgets for the years 1994, 1995 and 1996 are DM 20 million, 37 million and 38 million respectively. For research at universities and non-university research centres, the aid intensity will be 100% for fundamental research. Basic industrial research will be granted up to 60% (65% for SMEs) and applied research will receive a maximum of 35% (40% for SMEs). The aid is given in the form of outright grants.