Panahi has been unable to leave Iran after his conviction on charges of "making propaganda" against the country's ruling system. Authorities imposed a 20-year filmmaking ban on Panahi in 2010, but he has continued to make movies.
The grand jury prize, which comes with a runner-up Silver Bear, went today to Chilean director Pablo Larrain for his movie "The Club."
The best actor and best actress awards went to Tom Courtenay and Charlotte Rampling, who play a couple in British director Andrew Haigh's drama "45 Years."