The live entertainment sector has made a strong recovery post-Covid-19, surpassing Rs 100 billion in 2024 and extending its impact to tourism and urban services, according to the Economic Survey for 2025-26 released on Thursday.
The “Orange Economy” refers to the segment of the economy driven by creativity, culture and intellectual property. It includes activities where value is derived mainly from ideas, knowledge, artistic expression and cultural content.
According to the Economic Survey, a significant portion of this economy is the concert sector, which involves large-scale live music and entertainment events, and also includes various associated value chains, such as ticketing, hospitality, travel, logistics, media production, advertising and local services, extending beyond just physical attendance at the events.
In India, there is a lack of live event venues and restrictions on foreign payments that can be made to artists coming from abroad.
“Opening up heritage monuments for such events and facilitating the visa and foreign exchange permissions for the foreign performers/artists could be considered in this regard,” it said, adding that considering that anywhere between 10 and 15 clearances are required, the Ministry of I&B is working on a single window mechanism for live entertainment permissions, including those needed from state governments.
“International evidence shows that live concerts are high-multiplier, services-intensive activities, generating economic value well beyond ticket sales by supporting tourism, employment and urban services,” it said.
According to the survey, globally, live music accounts for about one-third of total music revenues. In the US, it generated over USD 130 billion and supported more than 900,000 jobs in 2019. In the UK, music tourism alone contributed £6.6 billion (USD 8.1 billion) in 2022 (about 0.3% of GDP), reflecting strong spillovers to hospitality, transport and retail.
It noted that concerts also serve as short-duration tourism demand amplifiers, being labour-intensive and creating jobs across various sectors, including event operations, logistics, hospitality, security and media, particularly for young people and creative professionals.
“According to UNCTAD estimates, the creative industries contribute between 0.5% and over 7% of GDP across countries, underscoring the significant potential of live entertainment. In India, the concert economy is nascent but scaling, supported by a young population, rising incomes, digital ticketing platforms and improving urban infrastructure.”
It said international experience underscores that economic gains depend on urban readiness and facilitative governance, including streamlined permissions, predictable regulations, efficient crowd management, last-mile connectivity and coordination across city authorities and tourism bodies.
“With appropriate facilitation and integration into tourism and city branding strategies, the concert economy can become a meaningful driver of growth for M&E, tourism and allied services,” it noted.
The Survey also noted that the digital media has emerged as the primary growth engine, contributing approximately one-third of the media and entertainment sector’s total revenues, while driving demand for content production, post-production, Visual Effects (VFX), dubbing, and localisation, all integrated into global distribution networks.
According to the Survey, the M&E sector has become a significant component of India’s services economy, spanning audio-visual production, broadcasting, digital content, animation and gaming, advertising and live entertainment.
The sector has undergone a structural shift towards digital and platform-based delivery, reshaping revenue models, value chains and employment; industry estimates place the sector’s size at around Rs 2.5 trillion in 2024, driven by rising incomes, rapid internet penetration and a large domestic market.
Stating that digital media emerged as the primary growth engine, contributing approximately one-third of the sector’s total revenues, while also driving demand for content production, post-production, Visual Effects (VFX), dubbing, and localisation, all integrated into global distribution networks, it noted that segment-wise, audio-visual and film services remain central, with India among the world’s largest content producers, and revenues are increasingly driven by digital distribution.
“Video subscription revenues are estimated at Rs 9,200 crore in 2024. Broadcasting and advertising have shifted decisively from linear TV to OTT and mobile platforms, with digital advertising growing faster than traditional formats,” it said, adding that high-growth, export-oriented segments, such as animation and VFX, reached a revenue size of approximately Rs103 billion in 2024, supported by skilled manpower and cost competitiveness.
It noted that the gaming segment, driven largely by mobile platforms and digital payments, expanded rapidly, with industry revenues estimated at around Rs232 billion in 2024, supported by a large and growing user base, even as monetisation models continue to evolve.
It further added that overall, medium-term prospects for the sector remain strong, bolstered by digital adoption, content diversification, experiential consumption, expanding connectivity, and technological advances in AI, immersive media and virtual production.
“International evidence shows that live concerts are high-multiplier, services-intensive activities, generating economic value well beyond ticket sales by supporting tourism, employment and urban services,”
it said. 
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