Paper short abstract:

The paper centres on the role of multilateral institutions in the formulation of science, technology and innovation policies in Trinidad and Tobago. It advances that their relative dominance has undermined the state's effectiveness in fostering developmental coalitions for technological development.

Paper long abstract:

Over the past two decades, a compelling myth about private sector development (PSD) has occupied the attention of policy-makers in developing countries. Popularised through the Global Competitiveness Index and World Bank's indicators, it signals that improved productivity, technological capabilities and competitiveness can only be achieved through market-friendly policies. The state is therefore mythologised to 'govern' from behind, by ensuring capital has the operating space to allocate resources more 'efficiently'. This paper challenges this circumscribed view of the state, as it has had little impact on improving conditions for technological development. It further interrogates the increased role of multilateral governance institutions as a protagonist in the policy process in Trinidad and Tobago. Through their stories about good governance and providing financing to critical agencies, they have effectively reshaped the balance of power. Consequently, it has reduced the state's capacity to frame problems, design instruments, and take action. Constrained by its own limited resources, technical capabilities and internal power struggles, policy-makers have relinquished certain autonomy. While declining institutional performance helps boost its main argument, historical evidence of strategic and flexible state intervention suggests that public organisations can potentially crowd in private investment, prove successful for generating indigenous knowledge and enhance technological capability. In order to re-balance the unequal terms of engagement, greater attention needs to be paid to domestic resources, indigenous efforts, developing institutional capacity and past experiences.