Czech film production will get a huge financial boost in the next three years thanks to legislation signed by Czech President Václav Klaus.
Under the legal code signed into law on Nov. 21, the Czech State Fund for the Support and Development of Czech Cinematography will be supplemented by revenues from advertising on state-controlled Czech television. The fund is set to receive about 425 million crowns (15.9 million euros) for new film projects through 2010..
The so-called "diginovela" primarily supports digital broadcasting in the Czech Republic.
According to the code, Czech television (http://www.ceskatelevize.cz/ ) will keep advertising until the shutdown of analog broadcasting, which is planned between October 2010 and December 2012.
The previous code called for Czech television to give up advertising to private channels like Nova (http://www.nova.cz/) and Prima (http://www.iprima.cz/). But while Czech television will retain its advertising, an estimated 12.5 million crowns in monthly revenues will be contributed to the Czech Film Fund, according to estimates by the leading economic newspapers Hospodářské noviny.
"It's great news for Czech cinematography," said Czech film producer Jaroslav Bouček.
The financing solution was critical to help Czech film over a critical period in 2008-2009, while authorities prepare to put the country on a par with its Central European neighbours by establishing tax exemptions for foreign films. However, the exemption won't be valid before 2009.