The homes destroyed or affected by the recent floods will be rebuilt using public funds, in case the owners agree not to sell them during the next five years and to sign insurance policies for the same period, said Prime Minister Calin Popescu Tariceanu on Thursday.

The National Homes Agency will purchase the required construction materials through the Romanian Stock Exchange. The distribution of raw matters will be made through city halls, which can sign contracts with specialized entrepreneurs, mainly in those case where the victims are unable to rebuilt the homes themselves.

The Government approved an amount of 55 million RON (some 15.27 million euro) for the county councils of the six counties affected by flood.

Preliminary data indicate that flood affected 156 localities, 2,700 homes (including 375 completely destroyed) and 40,000 hectares of agriculture terrain.

6,400 people are still evicted from their home-localities (out of the 15,000 evicted during the flood) and 27 villages still lack electricity.