The Hong Kong film industry has faced unprecedented challenges in recent years, especially due to the global COVID-19 pandemic, which brought production to a standstill. As filmmakers grappled with strict border controls and stringent health measures, many projects were halted, leading to a severe downturn in local film production. Given this tumultuous backdrop, the Hong Kong Film Development Council (HKFDC) understood the pressing need to reinvigorate the industry. Their response? The introduction of the “Film Production Financing Scheme 2.0,” a strategic initiative aimed at supporting local filmmakers as they navigate the post-pandemic landscape.
The new scheme is an evolution of the earlier “Relaxation Plan,” introduced in July 2020 when the industry was at its lowest ebb. The initial plan was a lifeline, funding 23 film projects, while generating significant box office successes, including the phenomenal “A Guilty Conscience,” which grossed approximately $12.8 million in 2023, placing it as a strong contender in Hong Kong’s film history. Through this groundwork, the HKFDC has since acknowledged that while the industry is recovering, it is not yet operating at pre-pandemic levels, warranting enhanced financial support.
The Financing Scheme 2.0 introduces several noteworthy enhancements that build upon its predecessor. Notably, while retaining the provision of subsidies for film projects with a budget under $3.2 million, the maximum government contribution has been increased from $1.16 million to $1.28 million. This adjustment signifies a crucial shift in support, ensuring that filmmakers have access to more substantial funding during a critical phase of their projects.
Additionally, the revamped scheme accelerates the funding process by disbursing a greater proportion of government funding—70% at the start of principal photography—as a means of improving cash flow during production. This strategic move not only alleviates some financial burdens but allows for a more seamless production experience.
Another critical component of the new scheme is the increase in eligibility quotas, which expands the number of applicants and financiers from two to four. This enhancement not only diversifies the pool of financiers but also encourages collaboration among stakeholders in the industry—a much-needed aspect for revitalizing a struggling sector. Moreover, prioritizing investor returns by allowing them to recover half of their investments is a proactive step by the HKFDC, aimed to entice potential investors and minimize perceived financial risks.
As HKFDC chairman Wilfred Wong noted, the initial Relaxation Plan was instrumental in funding several notable projects. With the upgraded Financing Scheme 2.0, the council aims to amplify this effort, making the financing process more attractive for filmmakers and stakeholders alike. By providing robust financial support and fostering investments in the local film industry, Hong Kong is taking significant strides towards revitalizing its cinematic landscape, ultimately aiming to restore its status as a vibrant hub for film production in Asia. Through these initiatives, the council embodies a forward-thinking approach, one that recognizes the importance of both artistic expression and economic opportunity in driving the local culture forward.