Tourists and residents were allowed back into St. Mark’s Square in Venice on Saturday, a day after it was closed due to exceptionally high tidal waters that swept through most of the lagoon city’s already devastated centre.

Despite sunny skies, and the reopening of the square, it doesn’t mean the water situation is getting much better.

The city remained on edge due to possibly more wind-propelled high tidal waters during the weekend. The city was struck Tuesday by devastating floods, the worst in decades.

Water was rising again in St. Mark’s Square and the forecast for Sunday was worse. The tide peaked at 1.10 metres above sea level on Saturday at noon, leaving St. Mark’s inundated with more than 20 centimetres of water.

Late Tuesday, water levels in Venice reached 1.87 metres above sea level, the highest flooding since 1966.

On Saturday, tourists sloshed through St. Mark’s Square and strolled across it on raised walkways.

A view of St. Mark’s Square just before its closure on Friday. (Andrea Merola/EPA-EFE)

Luigi Brugnaro, the city’s mayor, estimated damage from the flooding would reach at least 1 billion euros ($1.46 billion Cdn). He said a final tally of the damage to homes, businesses, stores and the city’s rich cultural heritage would be done once the city dries out, according to Italian media.

“Venice is once again being watched by the world and it needs to show that it can succeed and pick itself back up,” the mayor said in an interview with the Gazzettino and Messaggero newspapers.

Brugnaro said Venice was setting up programs to help cover damages sustained by individuals and businesses, noting families could expect up to 5,000 euros ($5,500) and businesses up to 20,000 euros ($22,000) in aid. He said businesses and individuals suffering even more serious losses could possibly qualify for aid covering up to 70 per cent of damages.

On Thursday, the government declared a state of emergency, approving 20 million euros ($29.3 million) to help Venice repair the most urgent damage.

WATCH: Venice flooded by 2nd-highest tide ever recorded

Venice’s St. Mark’s Square is under water as Italy’s historic city deals with the second highest tide in history. 1:35

Built on a series of tiny islets amid a system of canals, Venice is particularly vulnerable to a combination of rising sea levels due to climate change coupled with the city’s well-documented sinking into the mud. The sea level in Venice is 10 centimetres higher than it was 50 years ago, according to the city’s tide office.

The flooding has left Italians exasperated at the incompletion of the city’s long-delayed Moses flood defence project. Moses consists of a series of movable barriers in the lagoon that can be raised when high winds and high tides combine to threaten to send “acqua alta,” as the uniquely Venetian phenomenon is known, rushing across the city.

Completion of the multibillion-euro project, under construction since 2003, has been delayed by corruption scandals, cost overruns and opposition from environmentalists worried about its effects on Venice’s delicate lagoon ecosystem.