''We don't have a domestic Twenty20 competition but I think it has a place in cricket at the domestic level,'' he said after leading an International XI team in a Twenty20 match to raise funds for last year's earthquake victims in Pakistan.
His team lost the match, which was reduced to 10 overs a side due to bad weather, by six wickets against Pakistan, who reached the target with a ball to spare after Shahid Afridi trounced the International XI bowling in his 12-ball 41.
''We have to be careful that Twenty20 doesn't dilute 50-over cricket,'' he added.
The Team India skipper said Twenty20 was a good way of raising funds for charity causes and he enjoyed being a part of the effort.
''For an event like this to play for the victims of the earthquake was fantastic,'' he said about the experience of playing in the match.
''It was great to be given the opportunity to play here,'' he added.
India is the only Test playing nation which does not have Twenty20 cricket in its domestic calender and the BCCI has also opposed its expansion at the international level.
However, India has agreed to participate in the inaugural Twenty20 World Championship in South Africa next year.
Meanwhile, the charity match played at the Brit Oval raised 250,000 pounds for the victims of earthquake.