Nepal announces relief package for flood-hit businesses, plans settlement relocation | LIVE - The Hindu

**Nepal Unveils Flood Relief Package and Settlement Relocation Plan**

Kathmandu – In response to the devastating monsoon floods that swept across Nepal’s Terai and hilly regions last month, the federal government announced a comprehensive relief package worth **NPR 12.5 billion (approximately USD 105 million)** on Tuesday. The package, unveiled by Finance Minister Janak Raj Regmi, will provide **direct cash assistance of NPR 30,000 per affected small and medium‑sized enterprise**, low‑interest loans for inventory replenishment, and tax deferrals for businesses that suffered losses exceeding 25 % of their annual turnover. The relief scheme also earmarks **NPR 3 billion for the reconstruction of damaged market infrastructure**, including temporary stalls and permanent stalls in flood‑prone bazaars.

Alongside financial aid, the cabinet approved a **nationwide settlement relocation program** targeting 1,200 villages identified as high‑risk under the Ministry of Urban Development’s flood vulnerability map. The plan calls for the construction of **new, climate‑resilient housing clusters on elevated land**, complete with basic services such as water, sanitation and electricity. The relocation effort, slated to begin in the upcoming fiscal year, will be funded through a **public‑private partnership model**, leveraging contributions from international donors, the Asian Development Bank, and private sector investors. A dedicated task force, chaired by Deputy Prime Minister Pushpa Kamal Dahal, will oversee site selection, community engagement and compensation disbursement, aiming to relocate at least **30 % of the most vulnerable households within 24 months**.

The relief and relocation initiatives come amid an unprecedented rescue operation that has drawn international attention. Engineers and rescue teams, coordinated through a WhatsApp network of more than 150 specialists, successfully extricated a construction worker who had been trapped for nine days in a collapsed tunnel in the Kaski district, a feat described by NDTV as “extraordinary”. The operation highlighted the critical role of real‑time technical collaboration in disaster response and underscored the government’s broader commitment to bolstering emergency preparedness. As Nepal moves forward, officials stress that the combined financial aid and long‑term resettlement strategy are essential to rebuilding livelihoods and reducing future flood risk.