State finance minister Asim Dasgupta held a meeting with the representatives of major banks and financial institutions at the Writers’ Buildings on Saturday. Senior officials of Reserve Bank of India, UBI, UCO Bank, SBI and the Central Bank attended the meeting.

Talking to mediapersons after the meeting, Dasgupta announced several measures to help the seven lakh families and traders whose birds were culled after contracting the virus. Some of these traders come from families below the poverty line.

The state government plans to give away Rs 100 crore as budgetary grant to the affected.

Further, it has asked the banks in the affected areas to disburse new loans worth Rs 600 crore to those involved in poultry rearing.

“We discussed the outbreak and the compensatory measures we have to take. The virus has affected about seven lakh families,” he said.

Owing to the restrictions imposed on the movement of poultry and its sale, traders and poultry farm owners have also incurred losses.

Soon after the outbreak, the state government had announced a one-time grant of Rs 500 per family, along with on-the-spot compensation for the birds culled. It has so far approved Rs 11.75 crore for meeting the cost of culling operations.

Dasgupta said the Centre has contributed around Rs 8.5 crore for expenses related to bird flu operations.

He also spoke about relaxing certain guidelines taken up in co-ordination with banks and the Centre.

This includes re-scheduling of payback timings for existing loans with a four per cent reduction in existing interest rates on the loans.