Guatemala’s Creative Revolution: How the Orange Economy Is Redefining Growth in Central America

Guatemala has emerged as a surprising leader in Latin America’s creative economy movement—known globally as the “Orange Economy.” This vibrant sector, which encompasses industries driven by creativity, culture, and technology, is reshaping the country’s economic landscape and offering new opportunities for entrepreneurs, artists, and innovators alike.

What Is the Orange Economy?

The Orange Economy refers to the set of economic activities that rely on creativity, culture, and intellectual property. Coined by the Inter-American Development Bank (IDB), it includes sectors such as:

• Advertising and marketing
• Architecture and design
• Film, television, and radio
• Publishing and literature
• Software and video games
• Performing arts
• Fashion and crafts
• Music and visual arts

Globally, the Orange Economy generates over $2.25 trillion annually and employs more than 30 million people. In Latin America, it’s seen as a key driver of inclusive growth, especially among youth and women.

Guatemala’s Commitment to Creative Industries

Guatemala’s government and private sector have made a concerted effort to promote the Orange Economy as a pillar of sustainable development. The country’s Ministry of Economy, in collaboration with the Guatemalan Exporters Association (AGEXPORT), has launched initiatives to support creative entrepreneurs and connect them with international buyers.

One of the most notable events is the annual Foro de Economía Naranja, a forum that brings together creative businesses, investors, and policymakers. In its latest edition, over 10 Guatemalan companies showcased their services to 15 national and international buyers, ranging from digital animation studios to artisan cooperatives.

These efforts are paying off. Guatemala’s creative exports reached $13.5 million in 2024, with projections to grow significantly in 2025. The country is positioning itself as a regional hub for creative services, especially in digital content, design, and cultural tourism.

Why the Orange Economy Matters for Guatemala

The Orange Economy offers several strategic advantages for Guatemala:

1. Youth Empowerment

With over 60% of the population under 30, Guatemala has a vast pool of young talent eager to work in creative fields. The Orange Economy provides a platform for self-expression, entrepreneurship, and digital inclusion.

2. Job Creation

Creative industries are labor-intensive and often require specialized skills. By investing in training and education, Guatemala can generate thousands of new jobs in areas like graphic design, music production, and software development.

3. Export Diversification

Traditional exports like coffee, sugar, and textiles remain important, but creative services offer higher value-added potential. Digital products can be exported globally with minimal logistics costs, making them ideal for small businesses.

4. Cultural Preservation

The Orange Economy allows Guatemala to monetize its rich cultural heritage—from Mayan textiles to indigenous music—while preserving traditions and promoting intercultural dialogue.

Success Stories from Guatemala’s Creative Sector

Several Guatemalan companies are already making waves internationally:

• Studio Cactus: A digital animation firm that produces content for global clients, including educational platforms and entertainment companies.
• Ixchel Textiles: A cooperative of indigenous women who create handwoven garments and accessories, now sold in boutiques across Europe and North America.
• Sonido Maya: A music production studio blending traditional Guatemalan rhythms with modern genres, featured in international festivals.

These examples highlight the diversity and potential of Guatemala’s Orange Economy.

Government Support and Policy Framework

To sustain growth, Guatemala is implementing policies that support creative industries:

• Tax incentives for companies investing in cultural production and digital innovation.
• Export promotion programs through AGEXPORT and the Ministry of Economy.
• Creative hubs and incubators in urban centers like Guatemala City and Quetzaltenango.
• Partnerships with universities to offer degrees and certifications in creative disciplines.

These measures aim to formalize the sector, attract foreign investment, and integrate Guatemala into global creative value chains.

By investing in creativity, the country is unlocking new sources of growth, empowering its youth, and sharing its rich heritage with the world.

As global interest in sustainable and inclusive development grows, Guatemala’s creative revolution offers a compelling model for other nations to follow.