He said that in the past, when people had some money, they wanted to visit Kashmir. He added that he wanted to bring back those glorious days.
"Love for Kashmir draws me here. Kashmir has suffered a lot over the years. I felt the pain of flood victims," the prime minister said.
Stressing on the development of Jammu and Kashmir, Modi said: "We will spend Rs.34,000 crore on Jammu-Srinagar Highway. It will cut the journey time from 12 hours to three-and-a-half hours."
"Without Kashmiriyat, India is incomplete. This is the land that gave birth to Sufism, which taught us to bring everyone together," Modi said, adding that solution of all our problems lies in the employment of the youth.
"We must also provide employment opportunity for the youths in the valley and Ladakh region."
Modi on Saturday announced a Rs.80,000 crore economic package for the development of Jammu and Kashmir.
As soon as Modi made the announcement, the large gathering of people who had come to hear him broke into a joyous rapture at the Sher-e-Kashmir cricket stadium.
Announcing the much awaited economic package that will cover relief for 2014 flood victims, farmers, businessmen, tourism, youth employment and infrastructure in the state, Modi said: "This is not the end, but the beginning."
"Not only Delhi's treasures, but Delhi's 'Dil' (heart) is always for the people of Kashmir", Modi said.