New Delhi, Jan 29: In order to increase the pace of development, Bihar Chief Minister Nitish Kumar has sought the annual plan package of Rs.138 billion ($3.5 billion) for 2008-09.

The chief minister along with senior officials from the state will meet Planning Commission Deputy Chairman Montek Singh Ahluwalia Wednesday to finalise the annual outlay.

Last year, the state's annual outlay was of Rs.86.70 billion ($2.2 billion).

According to sources in the Planning Commission, the state government wants to spend Rs.42.7 billion ($1.1 billion) on social services sector comprising education, health, water supply, housing, and urban development.

"Rs.9.3 billion ($236 million) would be spent on rural development, while the state government proposes to spend Rs.4.4 billion ($112 million) on agriculture and allied services," sources said.

The irrigation and flood control, the annual natural disaster, may get Rs.18 billion ($458 million) against Rs.13.4 billion ($341 million) allocated last year. The transport department might get Rs.29 billion ($738 million).

The major areas in the agriculture sector that the state has identified to take care of include seed production, its multiplication and livestock sector.

"The state government has proposed Rs.331 million ($8 million) for forestry and wildlife for the coming fiscal, out of which Rs.130 million ($3.3 million) would be spent on rehabilitating the degraded forests," sources added.

"Given the condition of roads in Bihar, the government intends to spend the bulk of Rs.29.1 billion ($738 million) on improving the national and state highways along with the roads in major cities."

Since the state government announced the Industrial Policy 2006, efforts are being made to put the process of industrialisation on a fast track. The government seeks to earmark Rs.3.6 billion ($91 million) for land acquisition and land bank accounts.

In order to further upgrade health facilities, the state has proposed to set up three new medical colleges, one dental college and paramedical institute in 2008-09 at an estimated outlay of Rs.210 million ($5.3 million).

"The state government intends to spend Rs.392 million ($9.9 million) for constructing health sub-centres, while Rs.600 million ($15.3 million) would be spent to construct sub-divisional hospitals," a state government official, who has come to attend Wednesday's meeting said.

"For the minority community's development, we have proposed to earmark Rs.223 million ($5.6 million). In fact, more funds would be required to speed up development works in minority concentrated areas in the state. We would ask for more funds from the plan panel," the official added.