The Prime Minister, Dr. Manmohan Singh, has initiated action to help flood-hit Assam following his visit to the State and survey of the flood affected areas and meeting with the State Government on July 20, 2004.

The Assam Government brought to the attention of the Prime Minister its earlier requests and the Centre's assurances that loan assistance for 25 years (1974-2000) totaling Rs.380 crore would be converted to grant. The Prime Minister has asked the Finance Ministry to take appropriate action on this issue.

The Prime Minister has directed the Cabinet Secretary to immediately fill up all vacancies of senior posts in the North-Eastern Council. These include the posts of Secretary (NEC), Advisor (Transport), Advisor (Industries) and Advisor (Finance).

Dr. Manmohan Singh has also directed the Union Water Resources Ministry to set up a Task Force to look into the problems of recurring floods in Assam and neighbouring States. The Task Force will be set up by July 31, 2004. It will suggest short and long term measures and sources of funding for tackling the problem of floods in the region. He has also instructed the Ministry to draw up a plan of action to start work on two centrally sanctioned multi-purpose projects - the Lower Subansiri Hydro-Power Project and the Pagladiya dam project. The Ministry has been asked to finalise the date of starting the work on the projects by July 31, 2004.

Emphasising that the National Highways are a lifeline to the North Eastern States, Dr. Manmohan Singh has directed the Union Road Transport and Highways Ministry to immediately send a team to Assam and neighbouring States to assess the damage to the highways and take action for urgent repairs.