CULTURE AND POVERTY ALLEVIATION. Hangzhou, May Bonapas Onguglo, Senior Economic Affairs Officer, UNCTAD

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1 CULTURE AND POVERTY ALLEVIATION Hangzhou, May 2013 Bonapas Onguglo, Senior Economic Affairs Officer, UNCTAD Culture is recognized as an essential component of human development and an important contributor of sustainable development by the UN General Assembly in its resolutions on culture and development in 2010 and In UNCTAD we believe that culture and creative industries are important catalysts for sustainable growth and inclusive development, and hence for poverty alleviation. Culture and creative industries contribute to the achievement of real development gains including poverty eradication, gender and youth empowerment, environmental sustainability and peace and security locally, nationally and internationally. Culture and creative industries derived from our culture, arts and heritage are intrinsically linked to any national transformation strategy towards a more innovative and modern society while ensuring environmental sustainability. They strengthen the preservation and productive use of indigenous culture, art and knowledge, protect the natural habitat and environment, and enrich the lives of consumers of culture and creative products and services. For example, some countries are building creative cities based on renovating old cities with modern and sustainable materials, building of museums, libraries, theatres and arts centres that can also provide jobs and create incomes. UNESCO s Creative Cites Network has been effective in this regard in promoting exchanges among cities on cultural diversity and sustainable urban development. 1

2 Communities and municipalities are acting quickly and effectively in supporting growth of creative industries and assuming a greater role in the formulation and implementation of economic and development strategies. Culture and creative industries can improve the quality of life, enhance the sense of belonging, originate a vital and innovative cultural space and create new knowledge. For example, festivals, forums, exhibitions and conferences for the intellectuals, writers and artists and the wider public can enhance openness and appreciation for each other s cultural heritage and lead us to celebrate and value such diversity. Culture and creative industries can enhance human capital for higher skills. Such gains can be achieved from building educational institutions including universities based on encouraging local innovation and design. Culture and creative industries also yield large cultural and environmental benefits. By promoting indigenous knowledge for community management and shared use of natural resources and ecosystems, including in popularizing and preserving cultural endowments, creative industries directly contribute to the sustainable use and conservation of environmental resources. For example in 2012 UNCTAD organized an EcoChic event in Geneva, with Hong Kong charity Green2grenner. It highlighted potential for promotion of environmental biodiversity as both coutre and ready-to-wear eco fashion designers demonstrated 2

3 new models for sustainable design fashion, and ethical sourcing. It encourage people s future role as conservational practioners. Culture and creative industries play an important role in economic development at the local, regional and national level. They are a potential stable source of employment generation, including for women and youth, and particularly in rural communities and helps address their marginalization. Culture and creative industries provide many opportunities for women and youth that yield both economic and cultural benefits. Creative industries such as handicrafts basket weavers, potters, wood carvers and fashion leather workers, clothing, jewelers, jute and silk weavers, embroiderers can benefit female and youth artisans by generating incomes for them and their families, especially in rural areas where other higher income earning opportunities are limited. For example the Creative Economy Development Framework in the Gauteng Province of South Africa was launched in 2005 to support development of arts and cultural industries. A mapping exercise of the framework done in 2008 estimated that it had created over 63,000 jobs. In all programmes, the framework mainstreams target groups including people with disabilities, women and youth. In fact culture and creative industries offer opportunities for advancement to all members of a community regardless of their socio-economic status. Creative industries are typically small family businesses relying on local cultural resources and low investment levels. For example, many musicians and film makers are freelance or self-employed. As such, these sectors serve as effective vehicles for economic development initiatives focusing on poverty eradication. 3

4 They can create new export opportunities for products based on indigenous knowledge, design and local culture. Markets for creative goods and services worldwide have grown dramatically as more powerful channels of dissemination by modern communication and transport services have emerged, and show greater resilience to global economic shocks. UNCTAD recently released its data on world trade in creative goods and services which showed that such trade had totalled US$ 624 billion in 2011, which was an increase from US$ billion in 2010, following a slight decline in 2009 to US$ 536 billion from a pre-crisis peak of US$ billion in Such exports include arts and crafts, books, graphic and interior design works, fashion, films, music, new media, printed media, visual and audiovisuals. Markets for culture and creative goods and services will continue to grow dramatically with globalization and more powerful means of dissemination through modern transport and communication services. Many experiences from Africa, Latin America, Asia and other parts of the parts of the world can testify how creative industries are supporting the national transformation agenda of countries. To refer to just two examples of one sector, namely Bollywood in India and Nollywood in Nigeria, are indicative of creativity and entrepreneurial drive that is attaining visibility at international level. Nollywood is providing more than 1 million jobs, particularly to the youth in the State of Lagos and is reported to generate about $500 million in revenue annually. 4

5 The diversity and richness of culture and creative industries in offering numerous possibilities for enhancing economic growth consistent with maintaining and enhancing local heritage is exemplified by the experience of many countries, developing, developed and countries in transition. In the world today in which we face major conflicts within and among nations owing to a variety of factors: we need to focus on development processes that are fair and equitable, spreads benefits to the poor at the lower ranks of the development ladder, that foster respect and appreciation for one other, that see and value our differences as positive forces for building bridges among peoples, that honour our future generation, and provide adequate space for women folk and youth to play their full role in family, society and economy. And we need a more tolerant and peaceful world in which the earth s natural resources and peoples creative talents in all its multi-faceted manifestation are valued and preserved. Culture and the creative economy can help us to better articulate such an equitable, inclusive and respectful approach to development. In conclusion, culture and creative economy provide an important avenue for pursuing economic growth and sustainable development. Culture and creative economy alongside economic development, social advancement and environmental 5

6 sustainability are integral pillars of sustainable development. They constitute sectors with dynamic potential for growth and job creation and poverty reduction. In this regard, as the UN prepares to craft a new development agenda to replace the Millennium Development Goals in 2015, along with an effort to define sustainable development goals, it critically important that countries rally support for culture and creative industries a key driver and enabler for the achievement of development goals and poverty reduction. This meeting in Hangzhou is an important and timely occasion. 6