Louisiana inventionINDEX September 2026: 1.50% (A- grade)

The inventionINDEX measures innovation output by comparing GDP growth with patent production growth.

Anything over C grade is positive sentiment; anything under C is negative outlook/sentiment. Using that sentiment, it is possible to observe trends over time, and also compare states/countries. In doing so, we can predict which states have the best chance to recover economically from the pandemic (or any other economic incident that may occur).

Historical Louisiana inventionINDEX Scores

The Louisiana inventionINDEX score for the past 12 months is shown in the table below.

The Louisiana inventionINDEX for September 2026 stands at 1.50% with an A- rating, marking a notable recovery from recent months and demonstrating robust momentum. This result represents a significant 21-basis-point increase over August 2026 (1.29%, B rating) and a sharp rebound from the July 2026 trough of 0.98% (C- rating). Furthermore, the September 2026 performance matches the annual peak set in June 2026 (1.50%, A-) and comfortably surpasses the overall historical mean of approximately 1.34% across the 61-month dataset. This upward trajectory indicates that innovation momentum within the state is re-accelerating following a mid-summer deceleration.

Placing the latest score in broader historical context reveals recurring multi-year patterns across the region’s innovation framework. Over the past five years, the index has experienced pronounced cyclical surges, particularly during October periods such as October 2023 (3.45%, A+), October 2024 (2.40%, A+), and October 2022 (2.13%, A+). Conversely, the dataset highlights periodic pullbacks, such as the historical lows recorded in August 2022 and August 2024 (both at 0.82%, D+), as well as November 2025 (0.87%, D+). The September 2026 rating of A- positions the state above its mid-tier baseline and establishes a favorable setup heading into the historically strong fourth quarter.

Achieving higher scores and top-tier ratings brings substantial strategic advantages to Louisiana’s economic and entrepreneurial landscape. Higher index ratings signal active intellectual property creation, accelerated commercialization timelines, and strong collaborative output between academic institutions and private industry. This elevated performance enhances external venture capital interest, fosters talent attraction, and expands local job growth in technology and advanced manufacturing sectors. Strong metrics also validate regional economic policy, assuring stakeholders that capital investments yield measurable innovation returns.

Conversely, lower index scores and depressed letter grades carry distinct negative implications for regional development. Drops into the C and D rating tiers reflect potential bottlenecks in research funding, slower patent processing, or a temporary pullback in entrepreneurial activity. Prolonged periods of low scores can dampen investor confidence, delay commercialization efforts, and risk the emigration of technical talent to higher-performing regions. Continuous monitoring of these lower thresholds enables policymakers and business leaders to implement targeted interventions, ensuring transient declines do not translate into long-term structural stagnation.

Discussion:

In September, the Louisiana inventionINDEX scored a positive sentiment which was higher than the previous year’s average and outperformed the downward trend for the year. This is similar to the prior 12 months, which experienced a downward trend.

As the economy continues to stabilize in the post-pandemic era, it remains uncertain whether any backlog of applications still exists or if the department has returned to normal processing timelines. The inventionINDEX could also be affected by lingering consequences from the pandemic, such as company closures, reduced workforces, and limited R&D capabilities, which may still be impacting current operations.

Learn More:
Are you thinking of patenting any of your bright ideas? Did you know your research work could be eligible for the R&D Tax Credit and you can receive up to 14% back on your expenses? To find out more, please check out our free online eligibility test.

Swanson Reed’s Louisiana office provides R&D tax credit consulting and advisory services to New Orleans, Baton Rouge, Shreveport, Lafayette, Lake Charles, Kenner, Bossier City, Monroe, Alexandria and Houma

Feel free to book a quick teleconference with one of R&D tax specialists if you would like to learn more about R&D tax credit opportunities.

Who We Are:

Swanson Reed is the largest Specialist R&D tax credit advisory firm in the United States. With offices nationwide, we are one of the only firms globally to exclusively provide R&D tax credit consulting services to our clients. We have been exclusively providing R&D tax credit claim preparation and audit compliance solutions for over 30 years.

Swanson Reed hosts daily free webinars and provides free IRS CE and CPE credits for CPAs. For more information please visit us at www.swansonreed.com/free-webinars or contact your usual Swanson Reed representative.