The two leaders are also likely to deliberate on key regional and global issues, including U.S. sanctions on import of Iranian crude oil.
Officials say that nuclear power cooperation, one of the cornerstones of India-Russia ties, will be discussed, but the announcement of new sites for the next phase of Kudankulam reactors is yet to be finalised due to "land acquisition issues".
He said today that he thought the whole "information campaign" surrounding the former Russian spy who defected to the United Kingdom had been "blown up" and that it would pass, "the sooner, the better".
India and Russian Federation are set to sign defence deals worth over $7 billion at the bilateral summit on Friday, but financial sanctions by the USA have cast a shadow as they limit New Delhi's capacity to transfer funds to Moscow.
Russian President Vladimir Putin (2nd from L) speaks at a plenary session of the Russian Energy Week worldwide forum in Moscow on October 3, 2018.
The Russian President will also address the India-Russia Business Summit and will interact with a group of talented children.
"The S-400 systems have not been battle-tested but technologically they are quite good, also relatively cheap".
The purchase assumes important as it will violate sanctions under the Countering America's Adversaries Through Sanctions Act (CAATSA) enforced by the US Congress on arms purchases from Russian Federation, though there is a possibility of a presidential waiver.
The 24-hour visit that could have lasting implications for the India-U.S. relationship as well.
Saying the deal is at a "stage where it can be finalized", Indian Defense Minister Nirmala Sitharaman pointed out last week that, "We have a big legacy of buying defense equipment from Russian Federation". The signing of a deal for Russia's S-400 Triumf air defence system is the key feature of the visit.
The planned purchase of the S-400 missile system also demonstrates India's continued reliance on Russian military hardware, once its primary supplier of weapons according to defense analysts.
S-400 air defence system The focus of the summit will be an agreement on the S-400 air defence missile system. This was in progress after Modi announced that India would send a man to the moon by 2022.
Last month, Russia's Deputy Foreign Minister Sergei Ryabkov said Moscow and Beijing were working together with the European Union to counter U.S. sanctions.
India is expected to receive the first S-400 regiment two years after the signing date of the contract.