World Bank country director, India, Onno Ruhl, on Tuesday expressed disappointment over the 2008 Kosi deluge loan not being put to good use. “The bank is not satisfied with the Kosi project. It is the collective responsibility of the government, the bank and other agencies to work for the schemes,” Ruhl said.

On January 12, 2011, the World Bank had inked a deal with the Bihar government for a $220 million soft loan to help the Kosi flood victims. Funds for Bihar Kosi Flood Recovery Project were to be used to build one lakh houses besides constructing 290km of roads, small bridges and culverts in the ravaged districts of Saharsa, Supaul, Madhepura, Purnea and Araria. On August 18, 2008, these five districts of north Bihar were flooded owing to a breach in embankment on the Kosi at Kusaha near the India-Nepal border.