Romania’s Culture Minister Confident That Government Can ‘Repair’ Beleaguered Cash Rebate System (EXCLUSIVE)

variety.com:

Christopher Vourlias Romania’s culture minister Lucian Romașcanu is confident that the country’s beleaguered cash rebate system is back on track, insisting in Cannes on Sunday that the government is committed to “repairing” a scheme that has ground to a halt in recent years. “Everyone in politics, starting with the future Prime Minister MarcelCiolacu, understands the importance of that,” said Romașcanu, outlining plans to rebuild confidence in an incentive program that faces stiff competition in the region. “There is definitely a ‘yes’ from the political world.” According to Romașcanu, the administration is now determined to clear a backlog of roughly €100 million ($108.2 million) owed to foreign productions that have lensed in the Eastern European nation since the rebate was introduced, after a host of lawsuits over outstanding payments pushed the cashback program to a breaking point.

He was also optimistic that those payments will begin to flow by this fall, and that a revamped scheme launched this year will again be financed to the tune of €50 million ($54.1 million) a year. “I think it’s good news that there is total commitment from the political world in Romania,” said Romașcanu, who spoke exclusively to Variety. “It’s not just helping the movie industry.

It’s a win-win situation. It will come as a huge benefit for film producers that will also help the Romanian economy.” Though optimism was sky-high in Romania over the launch of a cash rebate of up to 45% in 2018, the scheme has been plagued since its inception.

After a bureaucratic reshuffle following a change in government in 2019 the program ground to a halt, a problem that was compounded within a matter of months when the newly installed administration was