The National Research Fund ("Fonds National de la Recherche", FNR), which was established in 1999, fosters the creation of a pool of knowledge and expertise in Luxembourg. Ever since its establishment, the FNR has constantly striven for optimal conditions in national research to enable the sector to reach international standards.

The FNR caters to all branches of science and the humanities, with an emphasis on strategically aligned research domains. A multiannual performance contract signed with the Ministry for Higher Education and Research, sets the budget for the FNR's well-defined short and long-term objectives. With its current funding for public research, the FNR pursues a three-fold strategic objective:

• supporting researchers to build up scientific quality and excellence
• improving Luxembourg's research environment and institutional framework
• promoting scientific culture, particularly among the young

Since 2000, the FNR has implemented several thematic and structural research programmes through which research projects in priority areas for Luxembourg are financed. The main programmes include:

• ATTRACT, which provides opportunities for outstanding young researchers not yet established in Luxembourg to launch activities in the Grand Duchy;
• CORE, a programme dedicated to excellence which aims to raise the scientific quality of Luxembourg’s public research in 5 socio-economic priority domains;
• OPEN intends to provide funding for projects that do not fit into areas covered by the thematic CORE programme;
• INTER, which strives to give Luxembourg’s public research a higher profile in an international context by facilitating and funding international collaboration;
• PEARL, which invites internationally recognised senior researchers to transfer their research programmes to a public-sector research institution in Luxembourg.

Calls for proposals are addressed to public institutions authorised to undertake R&D activities, and selected projects are partly or completely funded by the FNR.

Since 2008, the FNR has also been in charge of allocating research training grants (Aides à la Formation-Recherche, AFR grants) which offer financial support to PhDs and post-docs. The scheme helps to improve researchers’ working conditions by facilitating the access of early-stage researchers to work contracts and additional training opportunities. The AFR scheme also promotes public/private partnerships by offering incentives for research projects carried out in collaboration with the private sector.

In addition to the research programmes, the FNR has implemented financial supports through which the promotion of scientific culture, the training and mobility of researchers as well as scientific conferences, scientific monographs or other smaller activities may be financed.

Increasing importance is given to the promotion of scientific culture in Luxembourg. FNR financial support and/or organisational work for events like the Science Festival or Researchers' Days illustrates the efforts made to bridge the gap between science and society, in particular for the younger generation.