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Title: NDRF compensation norms to be reviewed annually
Date:11 April 2017

The government on April 10 2015 decided to review compensation norms for the National Disaster Response Fund (NDRF) and the state disaster response funds (SDRFs) every year in April based on annual inflation derived from the Wholesale Price Index. The move comes days after Prime Minister Narendra Modi announced that farmers will now be eligible for input subsidy if 33% of their crop has been damaged compared with 50% or more earlier. He had also said the existing financial assistance will be increased by 50% in case of crop losses. These measures have been carried out after revising the norms under NDRF and SDRF that became effective from 1 April. Meanwhile, the home ministry has asked states to earmark 10% of their SDRF amount for local disasters such as heavy rain, which is considered equivalent to a national disaster. This money is to be used for distressed farmers.

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