U.S. President Barack Obama called on India on Sunday to bolster peace efforts with Pakistan, tells college students in Mumbai that India has the biggest stake in Pakistan turning into a stable and prosperous state. "It may be surprising, that I am absolutely convinced that the country which has the biggest stake in Pakistan's success is India," Obama said at interaction with students at the St. Xavier's college. "If Pakistan is unstable, that's bad for India. If Pakistan is stable and prosperous, that's good because India is on the move," he said. Obama said this when a student asked him why the US had not declared Pakistan a terrorist state. He further said, "My hope is that over time, trust develops between the two countries, that dialogue begins, perhaps on less controversial issues, building up to more controversial issues". "There are more Pakistanis who've been killed by terrorists inside Pakistan than probably anywhere else," Obama said. While Obama's visit is mainly about boosting trade with India, the issue of regional stability in South Asia dominated a meeting on Sunday that Obama held with students at a college in Mumbai. Obama is scheduled later on Sunday to fly to New Delhi for a tour of a Mughal-era tomb and dinner with Prime Minister Manmohan Singh. Obama will also visit Indonesia, South Korea and Japan on an Asian tour that will see Washington push to prevent countries unilaterally devaluing currencies to protect their exports, a top theme at the Group of 20 heads of state meet in Seoul next week.