The film, which participated in the festival as part of the Panorama program, was awarded for showing "the irrationality of war."
Video courtesy of jn1.tv
Director Yariv Horowitz said after receiving the award, "The film's participation at the Berlin festival and the prize are a never-ending dream. The prize demonstrates faith in the commercial chances of 'Rock the Casbah' and its extensive international distribution.
"During the festival we sold the film to the United States, France, Australia and Japan."
"Rock the Casbah" tells the story of a young Israeli soldier in the midst of the First Intifada in 1989. The film's leading actors are Yon Tomarkin and Angel Bonani and it was produced by United King.
"Rock the Casbah" will be screened in Israel starting Thursday. The film's premiere will be held Sunday evening.
Israeli Academy Award-nominated documentary "The Gatekeepers" won the Cinema for Peace prize at the Berlin International Film Festival last week.
It was the first time an Israeli film received the prize, which has been handed out since 2001.