The Creative Industry in Russia Has Tremendous Growth Potential

17 october 2017

The new bulletin on education released by the Analytical Center focuses on the analysis of the potential of the creative industry in order to form a creative class in Russia and the impact of education on its development.

According to the experts, in this period of science and technology transformations, mass digitalization and the increasing role of intellectual property the creative industry is becoming one of the most important areas of economic and social development. It offers new ways of social and economic interaction, helping nations find new ways to success. While the creative industry directly affects all the sectors of the economy, including the labor market, it itself is influenced by the national education policy.

The analysts believe that the 20 years of experience Russia has gained in this area reveals not only the loss of profits but also a great potential that the creative industry still has in Russia for economic growth of the country as a whole as well as specific cities and regions. As the creative industries drive overall production growth, they also help promote employment and reduce social tensions. At the same time, the role of education is becoming the defining factor for the creation of a creative class in the country, the experts note. By creating new sectors of the economy, the creative industry provides the conditions for economic diversification, offering solutions for company towns and rural settlements while also driving the engagement of small and medium sized businesses in the economy.

The experts are also convinced that the impact of professional education on the creative industry is underestimated. Failing to meet the demands of the labor market, the education system keeps the youth from getting more engaged with the economy, holds back entrepreneurial initiative, drives up losses in science and technology which eventually result in slower economic growth. At the moment the creative industry is estimated at 0.5% of the GDP, but by 2025 its share may increase several-fold.

At the same time there is some distrust of the domestic creative industry, which increases reputation and economic risks for it, the experts write. Despite their great potential, a lot of initiatives cannot go through the "take-off" point because of the lack of management and project promotion skills as well as overcoming bureaucratic obstacles and legal illiteracy.

For more information see the bulletin Education and the Creative Industry in International and Domestic Practices.

For other issues of our bulletin on the education see Publications.