UAH 176 million is envisaged on the development of cinema in Ukraine in the state budget for 2012, which was adopted by the Verkhovna Rada on December 22, Head of the State Agency of Ukraine for Cinema Kateryna Kopylova said at a press conference at UKRINFORM on Monday.

Of these funds, "more than UAH 160 million is planned for the creation and distribution of national films," she said.

Kopylova said that UAH 111 million was allocated in 2011 to finance the film industry, which was five times more than in 2010, when the figure was UAH 24 million.

"Tax holidays, which were introduced for national film producers from January 1, 2011, will be in effect for five years - until January 1, 2016," Kopylova said.

She said that an important point was the exemption from the payment of the land tax by the subjects of cinematography - the producers of national films. "This helped state film studios save UAH 3.988 million in 2011," Kopylova said.

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