Elected members met to nominate Singh and parliamentary party chairperson Sonia Gandhi, a formality required to form a new government.
Allied parties have been in talks Gandhi after the Congress-led alliance coasted to victory, with positions at stake in the new government that is expected to be sworn in on Friday.
The alliance won 262 seats in the elections, with Congress Party´s own tally at 206 -- its best performance since 1991.
NC needs to be made free from factionalism: Prakash Man Singh
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The main opposition grouping led by the Bharatiya Janata Party (BJP) bagged only 159 seats.
Addressing party members, Singh warned that voters expected a more "responsive" and "efficient" government during its second term.
He also made a case for major economic reforms, which analysts say will be easier now that the party has enough seats to govern without communist support.
"The period ahead could be decisive. We must grasp the nettle firmly and forge ahead," Singh said. "This requires creating a social and political environment in which new investment can be made."
Gandhi echoed his words, saying the party could not take the electorate for granted.
"We must strengthen our relations with those who we serve," she said.
Singh has said he hopes to persuade Rahul Gandhi, Sonia´s son and the emerging star of the Nehru-Gandhi dynasty, to serve in the cabinet after Rahul´s role in the successful campaign was widely praised.
Singh is the first prime minister since the country´s post-independence leader Jawaharlal Nehru to be returned to office after completing a full term.
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