ABSTRACT Damping of the previously discovered resonant drag instability (RDI) of dust streaming in the protoplanetary disc is studied using the local approach to dynamics of gas–dust perturbations in the limit of the small dust fraction. Turbulence in a disc is represented by the effective viscosity and diffusivity in equations of motion for gas and dust, respectively. In the standard case of the Schmidt number (ratio of the effective viscosity to diffusivity) Sc = 1, the reduced description of RDI in terms of the inertial wave (IW) and the streaming dust wave (SDW) falling in resonance with each other reveals that damping solution differs from the inviscid solution simply by adding the characteristic damping frequency to its growth rate. RDI is fully suppressed at the threshold viscosity, which is estimated analytically, first, for radial drift, next, for vertical settling of dust, and at last, in the case of settling combined with a radial drift of the dust. In the last case, RDI survives up to the highest threshold viscosity, with a greater excess for smaller solids. Once Sc ≠ 1, a new instability specific for dissipative perturbations on the dust settling background emerges. This instability of the quasi-resonant nature is referred to as settling viscous instability (SVI). The mode akin to SDW (IW) becomes growing in a region of long waves provided that Sc > 1 (Sc < 1). SVI leads to an additional increase in the threshold viscosity.