Budget 2026–27 backs ‘Orange Economy’ with major boost to AVGC education

New Delhi: The Union Budget 2026-27, presented in Parliament by Finance minister Nirmala Sitharaman on Sunday, saw a renewed focus on the development of the creative economy of India, with a special focus on education, skill development, and job creation in the Animation, Visual Effects, Gaming, and Comics (AVGC) industry.

The Orange Economy, which is being identified as a major driver of future growth, was highlighted by the Finance minister as a sector that is growing rapidly and is expected to require nearly two million skilled workers by 2030.

To meet this requirement, the Budget has proposed financial support to the Indian Institute of Creative Technologies (IICT), Mumbai, for establishing AVGC Content Creator Labs in 15,000 secondary schools and 500 colleges across the country. This will enable young Indians to get early exposure to creative technologies, help develop talent at the school and college level, and provide new-age job opportunities to the youth of the country.

The government believes that this will help the country’s skills ecosystem greatly by aligning education with industry requirements and developing a future-ready workforce that can compete in the international creative markets. This will also help democratise creative education.

The Union Minister for Information and Broadcasting, Ashwini Vaishnaw, while speaking to the media at Rail Bhawan after the Budget announcement, said that the proposals are a part of a duty-driven Budget that is inspired by Yuva Shakti and Nari Shakti.

He said that the Prime Minister Narendra Modi has put India’s creative economy on the global map through programmes like WAVES, and that the new proposals would further strengthen the country’s position as a global creative destination.

Vaishnaw said that the IICT Mumbai, which would be modelled on the lines of the best institutions in the country, such as the IITs and IIMs, would be the backbone of the creative education system.

The programme, through its Creators’ Labs in schools and colleges, would help to create 20 lakh jobs, both directly and indirectly, in the creative sector.

The increased focus on the Orange Economy is also in line with the observations made in the Economic Survey, which has found the media and entertainment (M&E) industry to be one of the key drivers of the services sector in India.

The industry, which includes audio-visual production, broadcasting, digital content, animation, gaming, advertising, and live entertainment, has also undergone a dramatic shift over the last decade.

The Orange Economy, as described by the government, is an economic activity that is driven by creativity, culture, and intellectual property, where the primary value is derived from ideas, artistic expression, knowledge, and culture, rather than physical products.