The PM said this in the context of US President Donald Trump's new South Asia policy, according to a statement by the Prime Minister's Office or PMO.
The prime minister's observations came when US Secretary of State Rex Tillerson called on him this afternoon, the statement said.
"They further discussed stepping up effective cooperation to combat terrorism in all its forms and promoting regional stability and security," the PMO statement said.
Welcoming Mr Tillerson on his maiden visit to India in his current capacity, PM Modi noted with appreciation the "firm upward trajectory" in the bilateral strategic partnership following the "positive and far-reaching" talks with President Trump in June this year, the statement said.
PM Modi and Mr Tillerson affirmed that a strengthened India-US partnership is not just of mutual benefit to both countries, but has significant positive impact on the prospects for regional and global stability and prosperity.
Earlier in the day, Mr Tillerson held detailed discussions with External Affairs Minister Sushma Swaraj and National Security Adviser Ajit Doval.