As Kerala continues its transition into a knowledge-based economy, experts and thought leaders across sectors are calling for the formulation of a comprehensive creative economy policy. The state, which has long been celebrated for its cultural richness and intellectual depth, is now being urged to formally recognise the creative and cultural industries as powerful engines of growth.

While Kerala has historically nurtured its arts, crafts, literature, cinema, and design sectors, much of this development has occurred informally. However, to truly unlock the economic potential of these sectors, policymakers and civil society must work together to establish clear frameworks, incentives, and institutional support for a creative economy.

Kerala’s Unique Socio-Economic Landscape

Kerala stands out within India due to its high Human Development Index (HDI), exceptional literacy rate, and strong healthcare and educational systems. However, the state also faces persistent economic challenges, particularly in areas like employment generation, land scarcity, and industrial stagnation.

Unlike states with sprawling industrial corridors, Kerala’s geography, population density, and relatively high wage structure make large-scale industrialisation impractical. Additionally, the younger generation of Keralites is increasingly disinterested in traditional blue-collar employment. Their aspirations are evolving — many now seek careers that align with creative expression, digital fluency, and entrepreneurial freedom.

This shift has led to a growing gap between local job supply and demand, with many jobs in construction, agriculture, and domestic work being filled by migrants from other Indian states. It is estimated that over one-third of Kerala’s informal workforce comprises migrant labourers, as local youth opt for careers abroad or in India’s major metros.

The Untapped Power of the Creative Economy

Globally, the creative economy — which includes sectors like film, design, architecture, publishing, gaming, fashion, visual arts, advertising, and performing arts — is seen as one of the most dynamic sectors of the global economy. According to UNESCO, the creative economy represents 3.1% of global GDP and 6.2% of total employment.

Kerala has already demonstrated excellence in several of these domains:

• Its film industry is internationally recognised for content quality and innovation.

• Kochi-Muziris Biennale is one of Asia’s biggest contemporary art festivals, drawing global visitors.

• Handloom sectors like Chendamangalam and Balaramapuram, though struggling, still hold international repute.

• Literary talent, evident from the global popularity of writers like Arundhati Roy and Benyamin, flourishes in both Malayalam and English.

Yet, despite this richness, most creative professionals operate without institutional support. There is no dedicated funding, intellectual property rights (IPR) assistance, or formal career pathways in most creative fields. This leads to underemployment, income instability, and brain drain.

Need for a State-Centric Creative Economy Policy

Experts argue that Kerala urgently needs a structured creative economy policy to catalyse innovation, support creative entrepreneurs, and monetise its cultural capital. Such a policy would help:

• Create formal jobs in sectors traditionally viewed as informal or passion-driven.

• Encourage startups and SMEs in creative fields such as animation, content creation, and design.

• Offer skill development programmes tailored for creative professionals, including digital literacy, IPR education, and entrepreneurship.

• Facilitate access to finance, through dedicated funds or public-private partnerships.

• Develop infrastructure, such as creative hubs, co-working spaces, artist residencies, and cultural parks.

• Integrate creativity into education, ensuring that artistic skills are valued alongside STEM subjects.

A well-designed policy could mirror successful models from other regions. For instance, South Korea, which has built a multi-billion-dollar economy around its pop culture, or Scotland, where the creative industries generate over £5 billion annually.

Potential Benefits for Kerala

If implemented effectively, a creative economy policy could:

1. Retain Talent: By creating exciting job opportunities in the state, the policy can help reduce migration to Gulf countries or metros like Bengaluru and Mumbai.

2. Boost Tourism: Culture and creativity are major tourism drivers. Festivals, galleries, and creative marketplaces can add depth to Kerala’s tourism offerings.

3. Encourage Women’s Participation: Many creative fields offer flexible, decentralised work opportunities that can empower women entrepreneurs and freelancers.

4. Enable Rural Revitalisation: Creative industries can thrive outside urban centres. Craft clusters, traditional arts, and cultural storytelling can provide rural income without mass migration.

5. Improve Soft Power: Just as yoga and Bollywood have enhanced India's global image, Kerala’s classical arts, literature, and contemporary culture can boost its international visibility.

6. Drive Sustainable Growth: Creative industries are low-carbon, human-centric, and digitally scalable — a perfect match for Kerala’s development model.

Government Initiatives So Far

There have been some piecemeal initiatives:

• Kerala Startup Mission (KSUM) has supported a few media-tech and design startups.

• Tourism Department has launched promotional campaigns around Kerala’s heritage and art.

• Kerala Institute for Labour and Employment (KILE) has conducted studies on creative jobs.

• State-level academies support specific sectors like theatre, film, and visual arts.

But these efforts remain fragmented, underfunded, and unconnected to broader economic planning. There is no umbrella framework that aligns the interests of government, private sector, academia, and creators.

Voices from the Creative Community

Several artists, designers, and cultural entrepreneurs have voiced support for a structured policy.

Resul Pookutty, Oscar-winning sound designer, recently remarked:

“Kerala’s youth are some of the most talented globally. But we lose them to Bombay, Dubai, or Los Angeles. We need to give them reasons to stay.”

Beena Paul, editor and festival curator, noted:

“Creative professionals don’t want charity; they want platforms, funding, and dignity for their work.”

Young entrepreneurs like those behind Toonz Animation, Paperboat Design Studios, and DC Books say they face challenges accessing finance, hiring skilled talent, and dealing with red tape.

Role of Education and Academia

Kerala’s educational institutions must also adapt. While engineering and medicine still dominate career pipelines, creative skills and critical thinking need equal emphasis.

Introducing interdisciplinary programmes, like arts+technology, design thinking, or entrepreneurship in culture, can prepare youth for new job markets. Institutions like NID, NIFT, FTII, and even international design schools can collaborate to build centres of creative excellence in Kerala.

The Higher Education Council, in consultation with universities and autonomous colleges, can introduce curriculum reforms to meet the demands of the creative century.

Digital Tools and Platforms

Digital transformation offers new opportunities. Kerala can:

• Launch online marketplaces for creators, similar to Etsy or Behance.

• Build digital cultural archives, showcasing folk art, literature, and performances.

• Provide free access to design software, music tools, and editing platforms for students.

• Support content creators through grants, challenges, and creator festivals.

With proper incentives, Kerala’s youth could build YouTube channels, graphic novels, mobile games, and regional OTT platforms rooted in local culture but designed for global reach.

Conclusion: A Creative Turn for Kerala’s Future

Kerala today stands at a crossroads. While its social achievements remain commendable, its economic model needs a pivot toward sustainable, inclusive, and youth-driven sectors. The creative economy offers such a path — one that celebrates imagination, tradition, innovation, and enterprise.

By crafting a well-researched, adequately funded, and forward-looking policy, the state can transform its informal cultural wealth into a formal economic powerhouse. Doing so will not only retain its brightest minds but also showcase Kerala as a model of cultural modernity rooted in tradition.

In a world where creativity is capital, Kerala must rise to the occasion — not just to preserve its past, but to script its future.

The Upcoming IPOs in this week and coming weeks are BLT Logistics, Bhadora Industries, Highway Infrastructure, Parth Electricals & Engineering, Jyoti Global Plast, Essex Marine, Aaradhya Disposal Industries.

The Current active IPO are Flysbs Aviation, Cash Ur Drive Marketing, Renol Polychem, B.D. Industries (Pune), NSDL, Takyon Networks, Mehul Colours, M&B Engineering, Sri Lotus Developers & Realty.

Start your Stock Market Journey and Apply in IPO by Opening Free Demat Account in Choice Broking FinX.

Join our Trading with CA Abhay Telegram Channel for regular Stock Market Trading and Investment Calls by CA Abhay Varn - SEBI Registered Research Analyst.