Residents of a Slum Rehabilitation Authority (SRA) building in suburban Goregaon which caught fire a day before met Maharashtra Chief Minister Eknath Shinde on Saturday.
Shinde announced an assistance of Rs 50,000 for every family living in the building, an official statement said.
He also directed officials that SRA buildings should have iron stairs as emergency exit.
Seven people, including two minors, were killed and more than 60 injured after a fire swept through Jay Bhavani, a residential building in Mumbai's Goregaon area, in the early hours of Friday.
The medical expenses of the injured persons seeking treatment in private hospitals will be paid by the Chief Minister Medical Assistance Cell, the official statement added.
Shinde also directed officials to conduct structural and fire audits of the building, and give it a facelift.
The Brihanmumbai Municipal Corporation commissioner directed officials to start water supply to the building immediately. Some reports had said that the building had no water supply.
On Friday, Shinde had announced ex-gratia of Rs 5 lakh for the kin of each of the deceased.