After being given the industry status in May 1998, this is probably the most major announcement for the entertainment industry. For, getting approval under the IDBI Act indicates that the entertainment and film now has a level-playing field in terms of accessing bank loans and other facilities such as insurance. Says producer Vashu Bhagnani: ``I expect the system of obtaining loans for new projects to become easier. Producers can think of large projects without having to worry about where the money will come in from.''

According to a Ministry of Finance official, the notification is significant because till now the IDBI Act was the stumbling block in granting finances to this industry. Now that the industry has been recognised as an `industrial concern' under the IDBI Act, the industry can easily access loans not just from the IDBI, but also financial institutions such as the ICICI and IFCI, which come under the Companies Act.

Says star-and-businessperson, Mr Sunil Shetty: ``The industry will become a far more professional place to work in. This is a big relief to everybody from the junior artistes to the stars.'' He adds: ``Finally, there will be a sense of credibility to the industry and everybody can feel more secure.''

The new-generation entertainment companies - who are targeting IPOs, as a source for raising funds - also embody a sense of relief. Ms Ekta Kapoor, director, Shree Balaji Telefilms, says: ``The institutions will look at us more favourably now. We have just gone in for a public issue and are optimistic of greater FI contribution the next time we hit the market.''

The television channels too rate it as a positive development. Mr LS Nayak, executive vice-president, sales & marketing, Star: ``It's the best thing that has happened to the industry so far.''

Significantly, the legitimate source of funding is expected to finally drive out the suspect money which had trickled into the industry. According to the COO of Jain TV, Mr Sunil Gupta, the underworld's connection would get sidelined after this development. He said: ``With easy access to funds, the entertainment industry will become more transparent. Getting easy finance for film projects will mean that the underworld, for which the film industry is infamous, will get sidelined.'' Mr Gupta also felt that software exports would become easier for TV channels. ``Now that many of the foreign channels are becoming India-centric, money for software export will be easy to come by for the Indian channels,'' he added.

Mr Ajay Nijhawan, CEO, Modi Entertainment Network, which is a distribution agency for pay TV channels, said: ``Earlier, a lot of financial institutions had reservations on financing projects for the entertainment industry. But now, more and more FIs will be open to the idea of sanctioning loans to this sector.''

Another TV player - TWI, which is a software provider for various television channels, saw the move as a positive development in furthering `entertainment' as an industry. Said a spokesperson for TWI: ``The entertainment industry is poised to grow from its present figure of Rs 200 billion to Rs 600 billion over the next five years, and we are pleased that the Centre has recognised this.''

But of course, there's always room for more. Film producer Mr Mukesh Bhatt refuses to exult too soon: ``Nothing has really happened after the announcement in 1998. I am not fully convinced about this decision. Till the industry gets funding on the basis of its credibility and stature, any decision of this kind will remain only meaningless.'' Ah well, no script is perfect.