Small and medium-sized enterprises (SMEs) are to be given more federal funding to invest in innovation, and ideally, create jobs.
The economics ministry announced on Monday that SFr21.5 million ($19 million) from a government stimulus package would be set aside for SMEs from April 1.
The money is part of a SFr710-million stimulus package approved by parliament earlier this month.
The Federal Professional Education and Technology Office said promoting innovation was particularly important during a recession, which is currently underway in Switzerland.
The authorities will simplify criteria to ease access to funding and promote partnerships with research institutions.
The money will also be used to support the development of clean technologies such as raw-material recycling.
swissinfo with agencies