Indian leaders on Thursday conveyed to US Defence Secretary Donald Rumsfeld their concerns over American arms sales to Pakistan.

Rumsfeld, who was in New Delhi on a short visit, assured the Indian leaders that the US understood their sensitivities in this regard and would remain continually in touch, external affairs ministry spokesperson Navtej Sarna said.

Rumsfeld called on Prime Minister Manmohan Singh and held discussions with Defence Minister Pranab Mukherjee, External Affairs Minster K Natwar Singh and National Security Adviser J N Dixit.

"Concern was expressed from our side about the repercussions of US arms supplies on the ongoing Indo-Pak dialogue currently poised at a sensitive juncture," Sarna said.

Rumsfeld was also told that "these arms supplies would impact on the positive sentiments and goodwill for the US in India", he added.

On his part, Rumsfeld said the US did not envisage relations with India and Pakistan as a "zero-sum game" and that it was the US objective to have good relations with both countries.

During his talks with Rumsfeld, the PM said he was looking forward to receiving President George W Bush in New Delhi in 2005.

Singh reiterated his commitment to building peace, security and stability in South Asia and to India's willingness to discuss all outstanding issues with Pakistan as long as it remained committed to President Pervez Musharraf's assurance to check cross-border terrorism.

Welcoming the peaceful conduct of elections in Afghanistan, he said a lot more could be done if India was given transit facilities by Pakistan.

The PM agreed with Rumsfeld that a return to democracy in Iraq and the strengthening of its secular credentials would be in the interests of the people of the country.