In Hangzhou, capital of east China's Zhejiang Province, the cultural and creative industry, which features a combination of the human brain, culture and technology, has grown from an emerging "fledgling" industry to an important pillar industry of the city and a new engine for its economic development.

Amid the macroeconomic slowdown, the development of Hangzhou's cultural and creative industry has revealed a particularly eye-catching trend. The latest statistics show that the economic output by this city's cultural and creative industry actually increased by 57.986 billion yuan or 17.6 percent in 2008. The growth rate is 6.6 percentage points higher than the city's overall GDP growth. The increased economic output resulting from Hangzhou's cultural and creative industry is equivalent to 12.1 percent of its GDP, and has surpassed the trade, distribution and financial service industries to become the "largest constituent" of this city's service sector.

Hangzhou's outstanding natural environment and its deep historical and cultural background, developed private economy, as well as its advantages in talent and technology since it is home to universities such as Zhejiang University and China Academy of Art, make it an "excellent place" for the development of the cultural and creative industry.

The fast developing cartoon, animation and game industries are a major highlight in Hangzhou's cultural and creativity industry. In 2008, 31 cartoons, 20,300 minutes in length, were produced by Hangzhou's cultural and creativity industry, a 35 percent increase from the previous year. This makes Hangzhou the second largest city in the country in terms of cartoon output.

Hangzhou's cartoon, animation and game industries realized a gross output of 130 million yuan in the first quarter this year, an approximate 30 percent increase year-on-year.

The Fifth China International Cartoon & Animation Festival held from April 28 until May 3 in Hangzhou this year, attracted over 780,000 visitors from 38 countries and regions. The total turnover generated from the event exceeded 6.53 billion yuan.