Modi is the first foreign leader that Haley has met after becoming the Governor of the State in 2011. She is seeking her re-election in November.
According to the Governor's Office, she discussed a range of issues with Modi, which included automotive, information technology and aerospace economic development; and workforce training in high schools.
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"We had an exciting meeting with Prime Minister Narendra Modi this morning. We look forward to building our partnership between South Carolina and India!" Haley wrote on the Facebook page soon after meeting Modi.
The Prime Minister also tweeted about his meeting with Haley and invited her to India.
Haley is the first woman to serve as Governor of South Carolina. At the age of 42, she is the youngest Governor in the US.
She is one of two sitting Indian-American Governors in the US, the other being Republican Bobby Jindal of Louisiana.
She is also one of the Republican Party's most promising rising stars.
Haley is also the third person, who is not Euro-American to have been elected as governor of a Southern state, after Virginia's L Douglas Wilder and Louisiana's Jindal.
Modi met Haley hours before his speech at the Madison Square Garden here.
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