The Saudi Film Commission has raised its film production incentive to 60%, updating the cash rebate programme it first introduced in 2021 after the country reopened cinemas in 2017 following a 35-year ban.

Deadline reported that the announcement was made during a presentation at the Cannes Film Festival. The updated scheme will also make the application and payment process quicker and easier for filmmakers.

The higher rebate comes at a time when Saudi Arabia is trying to revive its film industry after several setbacks. Big-budget film “Desert Warrior" performed poorly at the box office both locally and internationally, while major projects such as the NEOM film and media hub have been scaled back.

Saudi Arabia’s aim to become a global filming destination has also faced short-term challenges due to tensions linked to the Iran-US conflict, which has involved missile and drone attacks on Gulf countries.

Despite these difficulties, the Saudi Film Commission says the country remains committed to growing its cinema sector.

“The announcement reflects the Kingdom’s wider vision to build a sustainable film industry based on empowerment and partnership,” reports Deadline, quoting Abdullah bin Nasser Al-Qahtani, CEO of the commission.

He added that the commission has improved several regulatory and operational parts of the incentive programme, including introducing a clearer guide for financial audits and payment procedures, to make the system more efficient and transparent for filmmakers.

According to Al-Qahtani, the programme is designed to create a complete film industry ecosystem that gives filmmakers more confidence, supports private companies, and attracts quality investment while helping local talent gain skills and experience.