Kerala Chief Minister VD Satheesan addresses a press conference after a cabinet meeting, in Thiruvananthapuram
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The Kerala Cabinet on Wednesday announced ₹8 lakh as financial assistance to the families of those who lost their lives in the torrential rain and floods that devastated large parts of the State over the past week.The death toll has risen to 26, while four people remain missing, Chief Minister V.D. Satheesan said after the Cabinet meeting. A total of 27,048 people are currently staying in 462 relief camps across the State, with the highest number of camps functioning in Pathanamthitta (157), Kottayam (154) and Alappuzha (81).The Cabinet also enhanced compensation for disaster-related property losses. Assistance for fully damaged houses has been increased from ₹4 lakh to ₹6 lakh, while compensation for the loss of both house and land has been raised from ₹10 lakh to ₹12 lakh.Of the ₹8 lakh ex gratia for the families of the deceased, ₹4 lakh will be provided from the State Disaster Response Fund (SDRF), while ₹2 lakh each will come from the Chief Minister’s Distress Relief Fund (CMDRF) and the Prime Minister’s National Relief Fund (PMNRF).A preliminary assessment has estimated losses to the State’s agriculture sector at ₹67.44 crore. Crop damage has been reported across 1,882 hectares, affecting 23,537 farmers. The Chief Minister said the final assessment is expected to show slightly higher losses. The Cabinet also decided to increase compensation for crop loss by 25 per cent on a per-hectare basis, noting that the existing assistance was inadequate.To support businesses affected by the floods, the government announced the Ujjeevana soft loan scheme for MSMEs and other small enterprises. Under the scheme, eligible beneficiaries can avail bank loans of up to ₹12 lakh through three options. In the first, the government will provide margin money equivalent to 25 per cent of the loan amount, subject to a maximum of ₹3 lakh. Those opting out of this can instead receive a 9 per cent interest subsidy on the loan for five years. A third option is intended for borrowers who had taken loans before the disaster and are now struggling with repayments.The Chief Minister also announced financial assistance of ₹10,000 each for residents of waterlogged houses, irrespective of whether they are staying in relief camps. The aid will be disbursed after verification by village officers or other government officials. Shops damaged in the floods will also receive ₹10,000 each as relief.Published on August 5, 2026
