Media sector to get $230m injection

Singapore - The Singapore government will increase its funding for the media sector by 40% and invest $230 million over the next five years as it attempts to carry-on its plans to develop Singapore into a media hub, despite the current flagging economy.

The funding is on top of existing government support of $500 million over five years for interactive digital media R&D, and will boost Media Development Authority's (MDA) Singapore Media Fusion (SMF) initiative in building a vibrant media ecosystem for media companies.

Speaking at Parliament last Friday Minister for Information, Communications and the Arts, Lee Boon Yang, said the creative industry had grown by about 6% annually - in terms of adding value to the economy - since 2003. But preliminary estimates indicate that for 2008, the creative industries only managed a 1% to 2% growth compared with 9% in 2007.

"2009 will be a very challenging year for the creative industries," he said.

"MICA will harness our resources to help creative enterprises ride the storm and prepare for the recovery. We will upgrade capabilities to prepare for economic recovery and new opportunities.  We will also continue to invest in physical infrastructure for the creative industries and spend on vital R&D to be at the forefront of innovation."

As part of this effort, the MDA, under SMF, will increase funding for collaborative media projects in the private sector, and will fund as much as 4,000 local television hours (up from 3,800 last year). The SMF will also continue to support media financing initiatives which to date, have secured over $1 billion of media funds in Singapore to finance international and Singapore media projects. 

"We will ensure that Singapore's creative industries and the wider economy will have both the software and hardware to grow and prosper once the economic storm blows over," he said.