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"India is committed to good relations with its neighbours," Modi said in his address to joint session of Bhutan's Parliament here.
On second day of his two-day visit to the Himalayan country, Modi said if India progresses, it will directly impact the development of its neighbours.
"Stability and development in India will help neighbours like Bhutan," he said in his speech in Hindi.
He also lauded Bhutan for the smooth transition from monarchy to democracy in a span of seven years which showed maturity in governance in that country.
63-year-old Modi arrived here yesterday on his first foreign trip after assuming office last month.
