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| 10 September - 19 September |
| Dan Fainaru (Israel) (jury president); Angela Baldassare (Canada) (secretary of jury); Yasushi Kawarabata (Japan); Huib Stam (Netherlands); Dominik Slappnig (Switzerland); Andrzej Werner (Poland) |
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| | Winners: | | | - Praise (1998) - John Curran (II)
- For its gritty honesty and its outstanding depiction of two characters rediscovering themselves against the bleakest odds.
- West Beyrouth (1998) - Ziad Doueiri
- For its youthful, energetic and unconventional approach to human values in the midst of civil war and its tragedies.
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