The Estonian government has increased the Film Estonia cash rebate from 30% to 40%, through which the country aims to strengthen its competitive position in the international production market. The program, launched in 2016 and managed by the Estonian Film Institute, failed to attract 27 projects over the past four years that relocated to other countries, representing a combined value of more than €44 million. Culture Minister Heidy Purga emphasizes that the scheme has a demonstrable economic impact outside the film sector, while the increased rebate coincides with the construction of new shooting pavilions in Jõhvi and Tallinn. The annual budget is being adjusted from €6 million to €5.2 million to avoid additional state pressure.

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