Festivals and events are a key contributor to the economy for various reasons. Firstly, they generate significant revenue for local businesses, including hotels, restaurants, bars, and retail shops. During these events, visitors come to the host community, which creates jobs and stimulates economic growth. Secondly, festivals and events attract tourists both domestically and internationally, which can lead to increased tourism and further economic benefits. Additionally, they provide a platform for businesses and organizations to promote their products and services to a wider audience, thereby building brand awareness and loyalty that translates into increased sales and market share.

Furthermore, festivals and events contribute to the social and cultural fabric of a community. They bring people together, encourage community engagement, and provide opportunities for cultural exchange and education. Festivals and events also have a legacy impact, leaving a lasting impact on the host community both economically and socially. They can lead to infrastructure improvements, inspire new business ventures, and create a sense of pride and identity among residents. Thus, festivals and events are an important consideration for policymakers and business leaders looking to promote economic growth and prosperity.