Film financing has slowed down in the last two years with banks treading a cautious path.
Due to unpredictable revenue streams, banks and financial institutions are not financing individual film projects but taking exposure at the corporate level.
Industry analysts also say that the tiff over the revenue-sharing pattern had halted many movie releases leading to higher default on loans by distributors.
Exim Bank (Export Import Bank of India) has reduced its exposure to film financing to Rs 200 crore from a peakof Rs 350 crore in 2007-08. The financial institution has financed close to 135 Indian films since it got active in film financing in 2004.
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