Korean Film Council (KOFIC)

Overview

KOFIC is the South Korean government agency that oversees and funds the Korean film industry. Established in 1999 under the Film Industry Promotion Act, it administers production grants, enforces the screen quota, manages co-production treaties, publishes box office data, and promotes Korean cinema at international markets. If you are a Korean filmmaker seeking public funding or an international producer looking at Korea as a co-production partner, KOFIC is the primary government institution you will interact with.

For 2026, KOFIC has rolled out a significantly expanded funding package totaling over ₩48 billion (approximately USD 35 million) across mid-budget production, development, independent cinema, AI filmmaking, and international co-production programs. The budget represents a direct response to the prolonged post-pandemic contraction in Korean cinema, including a 39.4% collapse in domestic film revenue in 2025 that dropped Korean cinema's market share to approximately 40%, down from the consistent majority position it held for over a decade. Review the 2026 KOFIC support program guidelines for application details and deadlines.

2026 Funding Programs and Budgets

Mid-Budget Production Support: ₩20 Billion

The flagship 2026 program doubles the mid-budget production fund from ₩10 billion in 2025 to ₩20 billion (approximately USD 14.5 million). The program targets feature films with net production budgets between ₩2 billion and ₩10 billion (roughly USD 1.4 million to USD 7.2 million). Per-project support is capped at the lower of 40% of net production costs or ₩2.5 billion (approximately USD 1.8 million). KOFIC plans to select approximately 18 titles in 2026.

Two structural reforms distinguish the 2026 program. First, at least 30% of selected projects must be directed by first-time feature directors, a quota designed to push new talent into a tier historically dominated by established names. Second, up to 20% of selected projects may be international co-productions, embedding global collaboration into mainstream Korean commercial filmmaking rather than treating it as a niche category. The deadline for securing investment and distribution agreements has been extended from three months to four months after final selection.

A supplementary budget (추경) was announced in June 2026, with a second application window running June 16 to June 30, 2026. This supplementary round expands eligibility to films with net production costs up to ₩15 billion, with per-project support capped at the lower of 40% of net production costs or ₩2.5 billion (₩3 billion for certain categories).

Development Funding: ₩4.6 Billion

The Korean film development support budget increased approximately 80% from ₩2.5 billion to ₩4.6 billion. The number of annual application rounds for both the writer and production company tracks doubles from one to two. The writer track selects 45 projects in the first half and 40 in the second. Eligibility has been broadened to include individuals with directing or assistant directing credits, not just credited screenwriters. The production company track introduces a new "lineup development" grant for longer-term project slates and reinstates a "next project development" grant that had been suspended.

Independent and Art Film Sector: ₩20.5 Billion

Support for independent and art-house cinema rises to ₩20.5 billion total, up approximately ₩4 billion from 2025. Of this, ₩7.7 billion goes directly to production support covering approximately 60 projects across features, shorts, and documentaries. Distribution and exhibition support has been expanded, and the obligation to repay support funds when release revenues are generated has been abolished, easing the financial burden on independent creators.

AI-Based Film Production: First in Asia

KOFIC is launching a dedicated support program for AI-based film production, the first of its kind from a major national film funding body in Asia. The program supports approximately 8 feature-length films (60 minutes or longer) and 30 short films (10 to 20 minutes). The application window closed March 3, 2026, meaning the inaugural cohort is already in selection.

International Co-Production Pilot: ₩3 Billion

A new international co-production pilot program, budgeted at ₩3 billion, runs two application rounds per year. The first-half deadline fell on April 10, 2026. The program is designed to build structural international collaboration into the Korean film industry, complementing the 20% co-production allowance within the mid-budget production program.

Screen Quota System

KOFIC administers South Korea's screen quota, which legally requires every movie theater auditorium to screen Korean films for at least 73 days per year (one-fifth of annual operating days, assuming year-round operation). The quota was set at 146 days until 2006, when it was halved to 73 days as part of the KORUS Free Trade Agreement negotiations with the United States.

The quota is counted per auditorium, not per theater complex. This creates a specific problem for premium format screens (IMAX, 4DX, ScreenX): when insufficient Korean films are produced in those formats, theaters are forced to screen standard digital Korean films in premium auditoriums to meet the quota. As of December 2025, CGV Yongsan's 4DX auditorium had screened Korean films for only 62 days, still 5 days short of compliance.

In early 2025, the U.S. Coalition of Services Industries submitted comments to the USTR asking that South Korea further reduce or eliminate the screen quota, citing the global success of Korean content. The USTR is examining this as part of its review of "reciprocal" tariffs for Korea. The quota remains in force as of July 2026.

Box Office Data and Market Conditions

KOFIC operates the Korean Box Office Information System (KOBIS), the comprehensive real-time box office tracking database for South Korea. Key 2025 and 2026 figures:

The Q1 2026 rebound was driven almost entirely by the breakout performance of The King's Warden, which claimed an all-time revenue record. Showbox led Q1 distribution with KRW 176.3 billion (55.4% market share) across three titles, followed by Walt Disney Company Korea with KRW 43.1 billion (13.6%) across five titles.

International Promotion and Infrastructure

KOFIC promotes Korean cinema internationally through the Korean Pavilion at the Cannes Marche du Film, representation at AFM and EFM, and support for Korean films at international festivals. The Korean Pavilion at Cannes is one of the most active national pavilions at the market.

The Busan Gijang Filming Studio, which includes a virtual production stage, begins operation in September 2026. KOFIC is also building a unified platform for integrated management of filmmakers' career information, targeted for completion by 2027, to enhance the reliability of personnel management across the industry.

What Filmmakers Should Know

For Korean filmmakers: KOFIC funding programs are the primary public financing infrastructure for projects that commercial studios and investors may not support. The 2026 expansion means more money is available across more categories than at any point in the past five years. Key actions: identify which program matches your project's budget tier and creative category, track application deadlines on the KOFIC website, and note the new two-round annual schedule for development grants. First-time feature directors should specifically target the mid-budget program, where 30% of selections are reserved for debut directors.

For international producers: The new ₩3 billion co-production pilot and the 20% co-production allowance within the mid-budget program create two distinct pathways for international collaboration with KOFIC support. Co-productions that qualify under South Korea's bilateral treaty framework receive treatment as Korean productions, unlocking domestic funding and screen quota benefits. Contact KOFIC's international division to confirm treaty coverage for your co-production territory.

For budgeting: KOFIC production support is structured as investment, not grants, for the mid-budget program (recoupable from film revenues). The independent film program has abolished the recoupment obligation for release revenues. Factor this distinction into your financial modeling. Use the Indie Film Budget Calculator to estimate total production costs and determine whether your project falls within KOFIC's ₩2 billion to ₩10 billion mid-budget eligibility window.

See Also

For the Directors Guild of Korea, which advocates for Korean directors on copyright and remuneration issues within the KOFIC framework, see Directors Guild of Korea (DGK) in this directory. For how government film funding affects production budgeting, see Above the Line vs Below the Line. For estimating production costs to determine KOFIC program eligibility, use the Indie Film Budget Calculator.