Earlier, New Delhi funded the reconstruction of about 1,700 metres of the destroyed embankment as well as spurs to bolster it at a cost of Rs.1,430 million.

In addition, it has provided Rs.200 million for providing immediate relief to the people in southern Nepal's Sunsari district who lost their homes in the 2008 floods.

Bansal said while about 60,000 became homeless in Nepal last year, the devastation was higher in Bihar where 2.5 million were hit.

The two governments have also agreed on round-the-clock patrolling of the twin embankments of the river during monsoon so that repairs can be done as and when needed.

Bansal said Nepal has agreed to provide security to the patrols.

The visit indicated a thaw in the frostiness that had developed last year when the two sides blamed each other for the flood.

Khand said Bansal's visit indicated the 'high importance that the government of India imparts to the Kosi barrage, (its) embankments and the people related with the system as a whole'.

During his two-day visit, Bansal and his delegation also held talks with Nepal's new Prime Minister, Madhav Kumar Nepal.

The Indian minister said though the Kosi was the primary reason for the visit, talks were also held on the 'immense potential' of Indo-Nepal cooperation in the water resources sector, which would generate hydro power, control floods and provide water for irrigation.