The Prime Minister received the couple on the steps of the Hyderabad House located next to the India Gate. While Kate wore a knee-length gauze green dress, William donned a dark suit and a tie.
A four-course Indian meal, including both vegetarian and and non-vegetarian, was served at the lunch hosted at the historic mansion here which before Independence served as the grand residence of the Nizam of Hyderabad.
The event was marked by santoor recital by classical musician Rahul Sharma. One of the highlights of the performance was the rendition of Beatles' famous number 'Let It Be'.
Bharti Group chief Sunil Bharti Mittal, Managing Director and Chief Executive Officer of ICICI Chanda Kochhar, actor Anupam Kher and former badminton player Pullela Gopichand were among some of the noted personalities who also attended.
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The royal couple are on a week-long tour of Indian and Bhutan that began on Sunday.
Their India visit began in Mumbai where they paid homage to the victims of the 26/11 terror attacks. In Delhi, they yesterday visited Gandhi Smriti, Mahatma Gandhi's memorial at Tees January Marg, and paid tribute to the Father of the Nation.