In order to cope with the worsening pandemic, the Ministry of Culture, in cooperation with the Taiwan Creative Content Agency (TAICCA), Taiwan SMEG (信保基金), Bank of Taiwan (臺灣銀行), Taiwan Cooperative Bank (合作金庫) will be launching the "Performing Arts Groups Relief Loan Project (演藝團體紓困貸款專案)" on July 1 with the aim of assisting cultural and creative organizations.
This will serve as an addition to the relief loan previously offered by the Ministry of Economic Affairs, as well as MOC’s "Cultural and Creative Industry Youth Loan" and "Strengthening the Cultural and Creative Industry’s Upgrading and Transformation Loan Project," both of which are still in effect.
As part of the project, the government will provide a 100% credit guarantee and a one-year full interest subsidy that is “easy, efficient, and less burdensome” to help cultural and creative organizations weather the pandemic.
Culture Minister Lee Yung-te noted that countries around the world have dedicated a lot of their budgets in support of their cultural and creative industries during the pandemic since "supporting cultural and creative organizations in maintaining creative prowess during the pandemic is as vital as pandemic prevention." MOC will continue to heed the demands of cultural and creative organizations in order to obtain the resources needed to help them overcome the difficulties.
In the consideration that performing arts groups often have difficulties in obtaining loans in the past, the MOC will aim at foundations, or in accordance with relevant laws and regulations of various counties and cities in the country to establish loan plans for performing arts groups that are involved in music, dance, traditional opera, modern drama, visual arts, and video art, among others.
MOC stated that the loan will cover necessary expenses of organizations affected by the pandemic to maintain operations, research and development, in addition to personnel, business, rent, administration costs. Loans of up to NT$6 million for a period of five years (with one year grace period) can be granted. The loan interest rate will be based on the post office’s 2-year tenure fixed deposit rate (currently 0.845%), in addition to the interest rate charged by financial institutions (less than 1%), with the current highest being 1.845%.
MOC pointed out that the major feature of the loan is that the government will provide a 100% credit guarantee and a full interest subsidy for up to a year, with the MOC fully responsible for bank service fees and handling fees. At the same time, TAICCA will a conduct a qualification review and organize a “green channel” to help performing groups obtain rapid loan approval and sufficient financial support.
The application period is from July 1, 2021 to Jan. 31, 2022, applicants can download the application form at MOC and TAICCA’s official website, and submit the duly accomplished form together with a photocopy of identity card, documents to show the impact caused by the pandemic and other relevant documents via email.
TAICCA chairperson Ting Hsiao-ching (丁曉菁) pointed out that TAICCA announced the "Cultural Content and Industry Flagship" program last year, to address the fundraising challenges in the cultural and creative industries as many activities were forced to postpone or cancel. In addition to the support for films, documentaries, and animation works announced this year, there will be further support for the theater and music sector in the future.
To help the performing arts groups to better understand the loan application process, TAICCA will host three seminars virtually on the 5th, 6th and 15th of July. For more information, please visit MOC and TAICCA’s official website or call 02-27455058.