The economy of Bihar depends upon agriculture. The agriculture has occupied a vital place just after bifurcation of Bihar in Nov. 2000 from newly formed state Jharkhand. Jharkhand is endowed with huge minerals by the nature while Bihar has no minerals except sand available in Sone river. Beside zero natural resources, Bihar suffers from proper business environment as well as skilled men powers. For the purpose of sound understanding of the challenges facing Bihar's economic development, it should be taken into account that population of 10.38 Crore in 2011, Bihar is a highly densely populated state of the Country. Approximately 1102 people live in per kilometre in Bihar.he economy of Bihar depends upon agriculture. The agriculture has occupied a vital place just after bifurcation of Bihar in Nov. 2000 from newly formed state Jharkhand. Jharkhand is endowed with huge minerals by the nature while Bihar has no minerals except sand available in Sone river. Beside zero natural resources, Bihar suffers from proper business environment as well as skilled men powers. For the purpose of sound understanding of the challenges facing Bihar's economic development, it should be taken into account that population of 10.38 Crore in 2011, Bihar is a highly densely populated state of the Country. Approximately 1102 people live in per kilometre in Bihar.Key-words: agriculture, bifurcation, zero natural resources, business environment, men powers, economic development etc..