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The programme is open to all local production houses; application ends on Nov 30.
Cinema halls in Malaysia to temporarily suspend operations nationwide.
Filming activities are currently allowed to go on in the areas placed under the conditional movement control order.
'Ejen Ali The Movie', 'Garden Of Evening Mists' to represent Malaysia in Asian Academy Creative Awards
Both local productions are selected to compete with entries from other Asia Pacific countries such as Australia, India, Indonesia and Japan.
Each production company can claim up to RM5,000 from Finas for the cost of Covid-19 screening.
However, for production houses looking to travel outside of conditional MCO areas, they must obtain permission from PDRM.
EXCLUSIVE: Malaysian artists worked on VFX shots in Star Wars franchise and Michael Bay's '6 Underground'
With the incentive from the Malaysian government, local talents are getting more involved in high-end projects including the Hollywood and Asian markets.
With many Indian movie releases postponed indefinitely due to the Covid-19 pandemic, it provides an opportunity for Malaysian film producers to release their movies for the upcoming Deepavali festival.
Communications and Multimedia Minister Datuk Saifuddin Abdullah said a plan, prepared by the National Film Development Corporation (FINAS), would focus on assisting and providing funds to industry players from July until December this year.
Tamil films distributors in Malaysia waiting for green signal from India