Malaysia’s creative sector is set for a major regulatory refresh following the Dewan Rakyat’s approval of the National Film Development Corporation Malaysia (Amendment) Bill 2025, marking a new phase in efforts to reinforce governance, regulatory clarity and worker protection across the film industry.

The bill, tabled by Communications Minister Datuk Fahmi Fadzil on Dec 3, reflects the government’s commitment to modernising the functions of the National Film Development Corporation Malaysia (FINAS) and ensuring the agency remains relevant amid rapid shifts in digital content creation.

In a statement, FINAS said the amendments align the FINAS Act 1981 with the realities of today’s production landscape and emerging technologies, including over-the-top (OTT) platforms and the growing volume of local digital content.

The revision, it added, enables the corporation to operate more effectively while supporting long-term sectoral growth.

According to FINAS, the updated provisions will ensure that subsidiary policies and regulations are more responsive to industry needs, while also strengthening safeguards for individuals employed in film and content production.

While acknowledging that video-on-demand (VOD) platforms are now a core part of the content ecosystem, FINAS clarified that OTT service providers remain exempt from licensing requirements.

Under the amended framework, only film production and distribution activities on digital platforms fall under FINAS’ purview. Exhibition-related enforcement would only be applicable if VOD licensing were introduced under the Communications and Multimedia Act 1998.

The corporation further emphasised that the scope of Act 244 covers all forms of commercial content production and distribution, including films, dramas, documentaries, animation and advertising materials screened on television, satellite channels, cinemas, OTT platforms and social media.

“The government reiterates that these amendments are not intended to curb creativity, but to ensure a safer, more organised and professional production ecosystem,” the statement said.

In line with the legislative changes, FINAS will refine and expand protective measures through subsidiary regulations.

These will cover welfare standards for production crew and workers, standardised contracts, payment guarantees, workplace safety requirements, social protection such as PERKESO coverage, and enhanced safety protocols for production environments and filming sets.

FINAS underscored that the strengthened Act aims to uplift the industry as a whole, ensuring that creative output continues to flourish while being supported by a more secure and accountable regulatory foundation.

-HR HUB

film-production-IMAGE-FOR-ILLUSTRATION.jpg