How does one quantify the value of an idea or of a creative venture? Rachel Agius speaks to Toni Attard about the work of the Creative Economy Working Group and how it is bringing to light the true worth of local creative initiatives.
The impact of something as vast and varying as creativity is hard to pin down. Even agreeing on terminology and the interpretation of data has proven to be a difficult if not impossible task. However the concept of a creative economy is easy enough to understand.
The digital world has helped the creative economy gain momentum
“The modern creative economy found form when cultural traditions, skills and expressions were merged with modern economic activity such as design, advertising, film and fashion,” says Toni Attard, Creative Economy Advisor within the Ministry of Finance, the Economy and Investment.
And as is true for many a sector, the digital world has helped the creative economy gain momentum.
Cultural and creative industries (CCIs) present such a unique challenge for those wishing to plot their economic contributions because their value is not solely financial.
“Products of CCIs often have a cultural significance resulting in an expressive value which is distinct from material cost and functionality,” explain Attard, articulating that particular sense of pride and admiration that accompanies the purchase and ownership of a homemade item or the experience of visiting a culturally significant site.
Indeed it is important not to discount the weight of cultural heritage. Aside from drawing the interest of tourists, it places local creativity within a bigger picture, becoming a history of both creation and creator.
“This is at the root of the remarkably high value-added potential within these industries.”
A look at local and European numbers reveals a growing economy with a promising future. In 2008, 6.7 million people were employed across the EU in creative occupations ranging from designers to computer professionals to engineers. With a three per cent growth per year, the creative industries form a significant part of EU wealth. Locally, the situation is similarly positive.
“CCIs are a major source of value added generation in the Maltese economy, with an annualised average growth of nine per cent between 2000 and 2007 and accounting for four per cent of GDP,” says Attard, mentioning how in 2007, over 7,500 people were employed within the industries, comprising almost five per cent of the total employment in Malta. Furthermore, 2009 saw almost 7,000 cultural and creative professionals working locally.
And it is not just the Maltese who are propelling this economy forward.
“Tourist expenditure on the CCIs sectors is estimated at €47.5 million in 2009, around six per cent of total tourist expenditure.
“Exported cultural and creative services rose at a considerable annual average growth rate of over 60 per cent between 2004 and 2008.”
The creative economy, being so difficult to define and categorise, has only recently been brought to the fore, with awareness among policy makers helping them to better grasp what is arguably both elusive in definition and economically important.
“A significant body of empirical evidence is now taking shape on the primary and secondary economic impacts of the CCIs, uncovering their economic performance and the vital inter-linkages with other industries,” explains Attard.
Government has taken an interest in mapping the local creative economy, particularly as it contributes so much to the economy as a whole.
“Policy intervention is further evoked to counterbalance the market failures constraining these industries, as well as to mitigate institutional and regulatory frameworks which may as yet not be in tune with CCIs characteristics.”
The Euro Plus Pact, an EU-wide commitment to improve each member state’s economic strength and competitiveness, is also ensuring that business ventures, including CCIs, are adequately safeguarded and encouraged to grow.
“Member states participating in the Euro Plus Pact have presented commitments representing over 100 separate measures in total. These commitments constitute a good first step towards achieving the objectives of the Pact and must now be implemented at the national level,” says Attard.
The Creative Economy Working Group, a body dedicated to understanding, improving and educating others about the creative economy, is spearheading national level initiatives.
It has five main objectives – to map the sector, turn it professional, maximise its income and employment, help it grow beyond the Maltese shores, and broker better economic, legal and administrative relationships between public and private resources.
The group has worked tirelessly to meet these goals – it has developed a cohesive national strategy for the cultural and the creative sector, based on the sector’s potential social and economic impacts and benefits as well as articulated and defined the governance and legal framework for the sector.
With regards to policy, the working group has reviewed the usage and effectiveness of current fiscal measures and other incentives with a view to the medium and long-term needs for the development of the sector.
It has also overseen increased coordination with key related national initiatives, particularly the Malta cultural policy and the preparatory work for the 2018 European Capital of Culture.
Malta certainly does not lack cultural heritage. Through the work of the group, local creative talents are coming to light and getting the attention they deserve, also as major contributors to the social and economic sectors they form part of.
Through research and hard work, the group has proven that creativity, the arts, and our cultural history are worth the financial investment and should be accorded the time, resources and respect they have earned.
Ms Agius is interested in all things technological and blogs at www.eweandme.blogspot.com.