Hundreds of flood victims attempted to return on foot to the scene of the disaster in Vargas state yesterday, even as rescue workers continued to help thousands more cut off by mudslides which devastated the coastal zone just outside Caracas city.
President Hugo Chavez announced his plan to "recover what was recoverable" and to add as few further refugees as possible to the 200,000 scattered throughout schools and army barracks. The latest death toll was 30,000 people, but thousands more are still missing.
The Association of Venezuelan Mayors (AVA) announced their decision to adopt 10 affected families for every mayoral district in the country, to ease overcrowding in makeshift refugee centres. The mayors' association agreed to absorb the families, finding them homes and jobs.
The mayor of Caracas, Mr Antonio Ledezma, issued a decree which prohibited all future construction in 29 districts affected by the floods. He also warned 300,000 people living on other precarious urban hillsides that they face "grave danger" should rains restart.
President Chavez continued to direct rescue operations personally, travelling to Ciudad Bolivar yesterday where he handed over the keys to the first homes donated to flood victims.
International aid has poured into the country. The EU has announced US$3.2 million in emergency funds, which will be dispatched immediately. $10 million in aid has already arrived from 43 countries.
Planes, tents and water are arriving every hour. But this will barely dent the anticipated US$2 billion cost of the cleanup and recovery effort.
Relief workers called for more medical personnel and fresh water yesterday, while the Foreign Minister, Mr Jose Vicente Rangel, appealed for accountants, "to ensure that errors and abuses in the past handling of aid are not repeated".
The Moroccan ambassador to Venezuela, Dr Ibrahin Houssein Moussa, arrived at the foreign ministry on Tuesday with a cheque for US$150,000, and asked if he could join the rescue operations, as he is a doctor.
Venezuela's international credit rating was cut, suffering a downward revision this week, from B to B minus, as financial brokers Standard and Moody's advised investors to stay away from the country. Severe economic recession is likely to continue well into next year.
President Chavez attempted to calm investor fears by announcing the prompt payment of external debt instalments due next March, describing the debt payment issue as "sacred" to his government.
President Chavez, who was elected in December 1998, has inherited a weak economy which depends on oil and tourism for foreign revenues. The flood disaster has paralysed tourist activity, with 25,000 holiday-makers stranded in Caracas alone.
Homeowners and businesses received further bad news yesterday when it was announced that insurance claims will cover only 10 per cent of losses from flood damage, with 250,000 jobs expected to be lost in the process.
The national emergency has allowed President Chavez to accelerate his own economic recovery plan, which involves the relocation of unemployed people to fertile plains in the interior, while also giving the military a key role in social development.
Families will be required to build their own homes, with the help of materials provided by Venezuela's National Housing Corporation (CNV).
President Chavez pledged to pull back the army and return control of the rescue effort to civilian teams and emergency committees established by the ANC, the country's temporary governing body.