Queensland-based games projects will now be able to access up to $90,000 in funding as part of the state government's new Games Grants program.
Screen Australia will commit $6 million over two years to support small to medium independent game studios with projects with budgets below $500,000.
The Interactive Games and Entertainment Association is lobbying the government to establish a direct funding program similar to the now-defunct Australian Interactive Games Fund in order to support independent game developers.
The games industry is among the early winners of next week's Federal Budget, which will include a 30 per cent Digital Games Tax Offset.
Australia's interactive entertainment sector posted a 23 per cent fall in traditional retail sales last year to $1.16bn