The creative economy is rapidly redefining the global economic landscape. Driven by digital innovation, cultural exchange, and the surge of creative entrepreneurship, it has become a powerful engine of employment, economic growth, and social transformation. From content creation and design to gaming, fashion, film, and digital arts, creative industries are revolutionizing how value is generated in the 21st century.
Technology has shattered traditional barriers to creativity. AI, blockchain, and the metaverse are pushing artistic boundaries, allowing creators to monetize their work beyond conventional markets. At the same time, NFTs, crowdfunding, and digital marketplaces have unlocked new revenue streams, turning artistic talent into a scalable economic force.
Emerging markets across Asia, Africa, and Latin America are witnessing an explosion of creative startups. Recognizing this momentum, governments worldwide are crafting policies to foster creative hubs, strengthen intellectual property rights, and build digital infrastructure.
Looking ahead, the creative economy offers unparalleled opportunities for employment, cross-cultural collaboration, and sustainable growth. As automation disrupts routine jobs, creativity will remain a distinctly human asset, positioning the creative economy not just as an industry but as a blueprint for the future of work and innovation.
In an exclusive conversation with The Interview World at Virasat – Mapping India’s Cultural Sector, organized by FICCI, Prof. Andy C Pratt—UNESCO Chair of Global Creative Economy and Professor Emeritus of Cultural Economy at the University of London—unpacks the forces shaping this dynamic sector. He explores India’s role in the global creative economy, reveals key industry trends, and provides insights into its current market size. Here are the most compelling takeaways from his thought-provoking discussion.
Q: What key factors are driving the global rise of the creative economy?
A: Countries worldwide are increasingly recognizing the creative economy’s significance. This shift stems from both political acknowledgment of cultural creativity’s value—beyond traditional sectors like heritage and tourism—and a growing emphasis on measuring its economic and social impact. Governments now actively monitor and report on these contributions, reinforcing the creative economy’s role in shaping society.
Messaging around its importance has also evolved. To distinguish it from conventional narratives, innovators have coined new terms like the “orange economy.” However, the real objective is to elevate awareness of the cultural and creative economy, which has long been overshadowed by its association with tourism, arts, and crafts.
This broader recognition demands a fresh perspective—one that positions the creative economy as an interconnected ecosystem influencing all aspects of society. It is no longer a niche sector but a dynamic force driving economic growth, social change, and cultural innovation.
Q: What is India’s position in the global creative economy?
A: India stands as a global powerhouse of economic and cultural influence, yet it struggles to effectively articulate its own narrative. The challenge is not a lack of significance but the absence of clear, measurable indicators that can quantify its creative economy’s contributions. Without such benchmarks, it becomes difficult to compare India’s progress with global counterparts and showcase its true potential on the world stage.
While some existing indicators highlight promising growth, the real task is in translating these numbers into a compelling story. India must define the value of its creative economy in tangible terms and communicate its impact convincingly to policymakers, industry leaders, and society at large. A strong, data-driven narrative is essential to ensuring that India’s creative sector gains the recognition it deserves. By doing so, the country can attract greater investment, strengthen its global positioning, and drive sustainable growth in this rapidly evolving industry.
Q: What is the current size of the global creative economy, and how is it expected to evolve over the next decade?
A: During my talk, I emphasized the growing importance of India’s creative economy, which already contributes around 3% to the nation’s economic output and provides employment to nearly 8% of its workforce. These figures alone highlight its significance, but what truly distinguishes India is the sector’s immense potential for expansion. With a rising middle class driving consumption and the rapid proliferation of digital technologies—particularly in gaming and film—India’s creative economy is undergoing a major transformation.
As this sector continues to evolve, it is not merely growing; it is becoming an integral pillar of India’s broader economic framework. Its impact extends beyond job creation and economic output—it plays a vital role in shaping India’s cultural and national identity. The creative economy serves as a bridge between tradition and innovation, offering a dynamic representation of India’s rich heritage while embracing cutting-edge advancements. By recognizing and nurturing this sector, India can strengthen its global presence, attract investment, and redefine its narrative on the world stage.
Q: What is the current scale of the global creative economy, and what are the key trends shaping its future growth?
A: One of the key challenges in evaluating the global creative economy is the absence of standardized measurement systems across countries. Without consistent data, it becomes difficult to fully understand the sector’s impact and potential. However, available estimates indicate that the creative economy contributes around 3% to global GDP and generates 5% to 6% of total employment, though these numbers vary widely across nations.
Despite these limitations, one fact is clear—the creative economy is on the rise. On a global scale, it is expanding at a steady rate of approximately 3% per year. However, in developing nations, this growth rate is nearly double, reflecting the sector’s increasing significance in emerging markets. India, with its vast pool of talent, digital advancements, and rising middle-class consumption, is well-positioned within this high-growth category. As a result, the country stands to benefit immensely by further integrating the creative economy into its broader economic and developmental strategies, unlocking new opportunities for innovation and investment.
