Chief Minister B S Yediyurappa said that finances of the state do not give scope for a complete loan waiver of farmers. As promised we are giving highest compensation for crop and houses damaged.

Yediyurappa told reporters here on Wednesday that as of now complete loan waiver for loans for farmers was not possible. "We have enhanced crop and compensation for reconstruction of houses damaged during floods and it's highest in the country," he said.

Funds that had been earmarked for developmental works have been diverted for flood relief works, Yediyurappa stated.

Expansion of the state cabinet will be carried out after the bye-election, he added. He also clarified that no talks have been held with his counterparts from Maharashtra and Goa regarding implementation of Mahadayi project, but he has spokem to BJP National President and Union Home Minister Amit Shah.