Last year's floods: FM Sitharaman announces aid to HP through multilateral development assistance

Shimla: Himachal Pradesh, which suffered major losses due to floods last year, would be provided aid through multilateral development assistance, Finance Minister Nirmala Sitharaman said during her budget speech in the Lok Sabha on Tuesday.

Heavy rains triggered floods and landslides in the hill state last year and about 550 people died during the monsoon season. The Himachal Pradesh government has requested the Centre to release Rs 9,042 crore as financial assistance following a post-disaster assessment carried out by a central team.

"Himachal Pradesh suffered extensive losses due to floods last year and our government would provide assistance to the state for reconstruction and rehabilitation through multilateral development assistance," Sitharaman said.

The state received three spells of very heavy rains last year. It received 223.9 mm of rain from July 8 to July 12 against the normal of 42.2 mm, 111.2 mm from August 11 to August 14 against the normal of 41.7 mm, an excess of 167 per cent, and 54.4 mm from August 22 to August 24 against the normal of 21 mm, an excess of 159 per cent.

The Congress government in Himachal Pradesh had demanded that the monsoon rains in the state be declared a national disaster. The state government, which said it allocated Rs 4,500 crore as part of a special aid for the flood victims from its own coffers, has repeatedly accused the BJP-led Centre of not announcing a special relief package for Himachal Pradesh and declaring the calamity a "national disaster".

Addressing rallies in Himachal Pradesh during the Lok Sabha poll campaign, Prime Minister Narendra Modi had accused the state government of selectively distributing the central aid meant for the victims of last year's floods and promised to find out where did the money go once he returned to power.

Earlier, Bharatiya Janata Party (BJP) leaders had said the Centre had released Rs 1,762 crore for the flood victims, besides funds for the construction of 2,300 roads and 11,000 houses, and accused the Congress of indulging in "bandarbaat (giving money to select people)".