You seem to have developed infection of the umbilical and surrounding area.
You should stop using a topical steroid
cream over the affected area.
Avoid using any oils or moisturizers over it.
Instead you need to apply a topical antibiotics cream over it.
Clean it twice a day with a topical antiseptic solution or with warm saline water. Dry the affected area and then apply the antibiotic cream.
You might in addition need a short course of oral antibiotic drugs if the infection persists even after the topical treatment.
Hope it helps
Dr Geetika Paul