The Hungarian film industry is bracing itself for huge cuts after the government announced in its 2011 budget that it would significantly reduce its funding of the Hungarian Motion Picture Foundation (MMK).
The parliament granted the MMK only 1 billion forints ($4.7m) for 2011, despite previously having a five-year deal worth 28billion forints ($132m) with the organisation.
The move has put the future of the Hungarian Film Week, traditionally held in February, in doubt. The MMK executive has decided to postpone the event until the end of April in the hope of securing funding in the interim.
The pre-existing deal between the government and the MMK supported production, exhibition, distribution, film promotion and education, but it is expected that these areas will now be subject to significant cut-backs.
A message on the MMK website says it will no longer be funding film magazines, documentaries or animated films.
In place of the previous arrangement, the government has now allotted two billion forints ($9.5m) to the Ministry of National Economy to help support the industry and 800 million forints ($3.8m) to the Ministry of National Resources.
There has been no indication from the government on how this money will be spent.
More to follow…