Government asks states to keep 10% of SDRF for local disasters

NEW DELHI: The government on Friday asked states to keep 10% of state disaster response ( SDRF) fund reserved for ‘local disasters’ such as heavy rain, which are to be declared at par with national disasters, and use this money to provide quick relief to distressed farmers.

It has further directed state level bankers’ committees ( SLBC) to facilitate timely restructuring of crop loans, including extended loan repayment period.

The initiatives are a part of the Prime Minister Narendra Modi’s announcement of major relief measures to the farmers and the poor engaged in agriculture affected by crop damage in the recent unseasonal rains and hailstorms.

The government has further directed insurance companies to settle the claims expeditiously and state governments have also been asked to ensure early completion of formalities for settling the insurance claims of farmers.

“While the Insurance companies have been asked to settle the claims expeditiously, State Governments have also been asked to ensure early completion of formalities for settling the insurance claims of farmers,” the government said in a statement.

Under the Modified National Insurance Scheme, the farmers are eligible to get claim of up to 25% without waiting for the result of crop cutting experiments.