Innovation South Greenland: Turning Arctic challenges into opportunities

In South Greenland, innovation must overcome some of the most unique challenges in the world. With a vast, sparsely populated Arctic landscape, high infrastructure costs, and a trend of urbanization drawing skilled workers to larger southern cities, the region’s economic growth faces significant hurdles.

“Greenland is home to just 56,000 people spread across 65 settlements,” said Miki Jensen, Director of Innovation South Greenland (ISG), an independent organization dedicated to promoting regional development and innovation. “This dispersion increases costs for society and businesses, making it hard to compete globally while also shrinking the local tax base.”

Like for all remote communities, urbanization and centralization exacerbate the problem. ISG is located in the 3,000 inhabitant town of Qaqortoq, nearly 500 kilometers from the capital Nuuk.

“Many skilled workers move to Nuuk or Denmark for better opportunities,” Jensen explained. “We’re working to highlight the good life in South Greenland, where affordable housing, job opportunities, and a peaceful environment make it an attractive place to live and work.”

Increasingly, investors are starting to look to Greenland for opportunities and an expected boom in tourism due to new international airports in Nuuk, Ilulissat, and Qaqortoq brings both opportunities and risks.

“We’ve seen the impact of tourism booms in places like Iceland and Alaska,” Jensen noted. “There’s great potential for business development, but we must manage it carefully to ensure the benefits are spread across the entire country.”

A Vision for Regional Development

To address these challenges, ISG was founded in 2019 with a mission to promote regional growth and foster stronger ties between industries. The organization was deliberately structured to operate independently from municipal management, enabling faster decision-making and greater focus on collaboration with the private sector.

“Our goal was to create a faster path from idea to action,” Jensen said. “We wanted to emphasize innovation while remaining independent from political influence.”

The organization focuses on connecting critical sectors such as agriculture, tourism, fishing, UNESCO World Heritage projects, and education to drive sustainable growth. Innovation South Greenland focuses on a range of industries to diversify the economy and create sustainable growth, such as:

• Agriculture and Food: Supporting local farming and food production practices.
• Tourism: Promoting attractions like the UNESCO World Heritage site Kujataa and preparing for increased international visitors.
• Fishing and Hunting: Assisting traditional industries that are central to Greenlandic culture.
• Natural Resources: Helping businesses navigate opportunities in mining and sustainable resource development.

“Our main goal is to facilitate business development,” Jensen said. “We advocate for local businesses at every level to ensure they can thrive.”

Building on Strengths

Despite the obstacles, Jensen claims that Greenland has unique strengths that position it for long-term success.

“We are possibly the freest country in the world,” Jensen said. “Our society allows people to live where they choose, and our parliament has the power to make decisions that reflect the needs of our population.”

Out of all the Inuit regions in the Arctic, Greenland boasts the strongest self-governance, which empowers its population to make decisions that benefit the local population.

“In other regions, communities often have little say over developments like mining, and living standards are lower,” Jensen said. “Here, we prioritize taking care of one another and creating opportunities for personal growth through education.”

Preparing for the Future

The coming years promise transformative changes for Greenland, particularly with increased connectivity from the new airports and direct flights from major cities, including New York.

“The private sector will grow, and we’ll see reduced reliance on subsidies,” Jensen predicted. “But this is an exciting time that also requires careful planning to ensure sustainable growth.”

Innovation South Greenland remains focused on balancing this future development with the preservation of the region’s cultural and natural heritage.

“Innovation isn’t just about economic growth,” Jensen said. “It’s about creating opportunities that benefit everyone in South Greenland while preserving our way of life.”