Date:07/12/2005 URL: http://www.thehindu.com/2005/12/07/stories/2005120706110500.htm

Tamil Nadu - Chennai

Bankers' task force to recommend relief

Special Correspondent

CHENNAI: The State-level Bankers Committee will constitute a special task force to assess the damage caused by the recent rain in Tamil Nadu and recommend special relief measures for the affected.

The task force will consist of senior officials of the State Government, the Reserve Bank of India, banks, the National Bank for Agriculture and Rural Development, the National Housing Bank, the Small Industries and Development Bank of India, Life Insurance Corporation and United India Insurance Company.

According to an RBI release, a special meeting of the committee, held on December 1, noted that the floods had wreaked havoc in 22 of the 29 districts and left several villages marooned. The meeting decided to invoke, with immediate effect, the RBI's standing instructions to banks for providing relief in the event of natural calamities.

The measures included grant of fresh crop loans to farmers whose crops were damaged. Special district consultative committees would be convened in the affected districts to consider specific packages for each of the affected districts.