Prime Minister Narendra Modi and his Mauritian counterpart Pravind Kumar Jugnauth held talks on Tuesday.
They have discussed ways to boost bilateral trade and investment, including finalisation of a comprehensive economic partnership agreement.
Both leaders met in Varanasi on the sidelines of the 15th Pravasi Bharatiya Divas which was inaugurated by Mr Modi, and in which Mr Jugnauth was the Chief Guest and keynote speaker.
In a statement, the External Affairs Ministry said, both Prime Ministers reviewed the entire gamut of bilateral relations, and the talks focussed on the initiatives to further strengthen the ties.
Mr Modi and Mr Jugnauth also discussed the ongoing bilateral development co-operation projects.
New proposals for critical partnership projects in health, disaster management and energy sectors were agreed upon in the deliberations.
The two leaders also discussed ways to expand further co-operation in areas of
blue economy.
Blue economy is the sustainable use of ocean resources for economic growth, improved livelihood and jobs, and ocean ecosystem health.
Both the Prime Ministers also discussed collaboration in Africa.
Earlier, inaugurating the Pravasi Bharatiya Divas, Mr Modi said, NRIs can play a great role in Start Up, Stand Up and in Defence manufacturing sector while working for the development of India.
He called upon the Indian diaspora to play a greater role in the development of the land of their forefathers.
In his address, the Mauritian Prime Minister hailed Mr Modi's leadership, saying that India had transformed under him and taken many initiatives to facilitate the less fortunate to have better access to opportunities.
The theme of this year's Pravasi Bharatiya Divas is, 'Role of Indian Diaspora in building New India'.
Mr Jugnauth will call on President Ram Nath Kovind today.