21-08-2020

Romania Resumes Cash Rebate Scheme

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BUCHAREST: Romania has officially decided to resume the cash rebate scheme, which halted in 2019, by allotting 150 m EUR until 31 December 2023. The implementation rules of the Government decision will be approved by the minister of Economy, Energy and Business Environment within 30 days after the publication of the decision in the Romanian Official Gazette / Monitorul Oficial.

At the end of 2019 - beginning of 2020, the Ministry of Economy, Energy and Business Environment took over the management of the cash rebate scheme from the National Commission for Prognosis, but the bureaucratic process got even slower as the COVID-19 pandemic broke out.

The Romanian film professionals stood up and the newly established Romanian Alliance of Film Producers (AFP), presided by Iuliana Tarnovețchi and having Alex Trăilă as CEO, managed to get representatives of the Parliament, the Ministry of Culture and the Ministry of Economy, Energy and Business Environment at the same table with the film industry professionals.

As a result the Romanian Government approved a decision on 19 August 2020 allowing the cash rebate scheme to be continued for the next three years with the possibility for further continuation.

“It is very good news for the Romanian producers and for our international peers who are looking forward to start their production over here. Extending the cash rebate programme till 2023 proves Romania thinks in the long term and we can all plan ahead. The Alliance of Romanian Film Producers will continue building its strategic partnership with the Romanian Government and other trade organisations to promote Romania abroad through the screen industries while strenghtening the national film production landscape”, Alex Trăilă, the CEO of the Romanian Alliance of Film Producers, told FNE.

Romania’s cash rebate scheme was launched on 8 October 2018. The state aid scheme offers a 35% cash rebate on qualified expenditure for international productions shooting in Romania. Additionally, productions explicitly promoting Romania, with a minimum local spend of 20% of the total budget of the production, can also apply for a rebate of 10%.