In Bihar to kickstart the poll campaign, Prime Minister Narendra Modi today said politics has hurt the state's development and promised to give it a package "bigger" than Rs 50,000 crore which he had announced earlier.

Sharing dais with Chief Minister Nitish Kumar who had parted ways with BJP for projecting him as Prime Ministerial candidate two years back, Modi took a jibe at JD(U)'s new partner RJD chief Lalu Prasad, saying railway ministers who "came from here" after the Vajpayee government had "halted work".

"The Chief Minister just gave a detailed overview of how much damage development suffers because of politics," Modi said as he launched a power project here on his maiden visit since becoming the Prime Minister in June last year.

Referring to developmental projects initiated during the previous NDA government, he said, "The work which could have been completed during Atal ji (Behari Vajpayee's) tenure took 2015 to be finished. I totally agree with Nitish ji that if the (Lok Sabha) polls (in 2004) had taken place six months later (than April-May), the work could have been completed then only,"

Modi said Nitish Kumar, who spoke before him, has high hopes from the central government and "we are working towards fulfilling the states' needs by increasing allocation to states."

He recalled that when came to the state before last year's Lok Sabha elections, he had announced that Bihar will be given a special package of Rs 50,000 crore.

"Looking at our dreams for a prosperous Bihar, we will give a bigger package than Rs 50,000 cr. This is my promise," the Prime Minister said, adding that he will make an announcment regarding this at the right time.

On the occasion, Modi targeted Lalu as he referred to a pending railway line of Bihar.

"After the change in the government (at the centre in 2004), the railway ministers that came from here, halted the work and after we came to power we have again started the work. Let those who want to do politics, do it. But the people of Bihar have been hit because of it," he said.

Asserting that development is the "prime agenda" of his government, the Prime Minister said the country will progress if the eastern part of the nation develops... Development of eastern India is our mission."

Pitching for "cooperative fedralism, he said development of the states was necessary for the progress of the country.

"Under the 14th Finance Commission, Bihar will receive Rs 3.75 lakh crore from 2015 to 2020 as compared to Rs 1.5 lakh which the state used to get before," he said, in an apparent response to Kumar's contention that the state would lose because of its implementation.

He emphasised that development is the panacea for all problems related to poverty and unemployment.

Referring to importance of infrastructure, he said the gas pipeline and rail projects which were launched today would provide development and improve the quality of life of the people in the state. He said that if India has to progress, then the development of Eastern India is essential.

Bihar will have Assembly polls later this year in which a tough contest is expected between the ruling JD(U)-RJD-Congress alliance and the BJP on the other side.

Modi launched the Deendayal Upadhyay Gram Jyoti Yojana. He also and inaugurated the Daniawan-Bihar Sharif new railway line and flagged off the Rajgir-Bihar Sharif-Daniawan-Fatuha passenger train and Patna-Mumbai AC Suvidha Express.

Apart from it, he also dedicated IIT Campus at Patna and laid the foundation stone for Incubation Centre for Medical Electronics. He said the IIT should cater to state's development needs.

Modi also expressed hope that the Incubation Centre would help manufacture medical devices in India to make them easily accessible for all.

Speaking of bringing "Urja Ganga" (river of energy) inaugurated the construction of the first phase of the Jagdishpur-Haldia pipeline project, which is expected to connect piped gas to homes in Patna.