Relief measures by bank in areas affected by Natural Calamities 

National Disaster Management Framework recognizes 12 types of calamities, which includes Cyclone, Drought, Earthquake, Fire, Flood, Tsunami, Hailstorm, Landslide, Avalanche, Cloud Burst, Pest Attack and Cold Wave/Frost. 

Standing instructions for branches to initiate action after district/state government declaration.

SLBC/DCC meetings for coordinated action plans for implementation of the relief programme in collaboration with the state Government authorities.

Declaration of Natural Calamity:

District/state government declares natural calamities based on the crop loss. with a crop loss of 33% or more, and relief measures shall be extended to farmers/entrepreneurs.

Restructuring/Rescheduling of Existing Loans:

All the short-term loans, except those which are overdue at the time of occurrence of natural calamities, can be restructured.

The principal and interest due in the year of the calamity will be converted into a term loan within 3 months from the date of calamity.

Long-term (Investment) loans shall be restructured based on asset damage. Other Loans can be restructured as decided by SLBC/DCC based on severity.

Sanctioning of Fresh Loans:

Fresh crop loans shall be sanctioned based on scale of finance and cultivation area for raising the crops. Further, Long-term loans for agriculture, allied activities, rural artisans, etc can be undertaken. Consumption loans up to Rs.10,000/- without collateral.

Applicability of natural calamities relief measures guidelines in Riots and Disturbances:

Bank extends assistance to riot/disturbance affected persons based on SLBC/DCC approvals.

Utilization of insurance proceeds:

Bank shall adjust insurance proceeds received to restructured loans.