Dhoni celebrated his 38th birthday on Sunday. The ongoing World Cup is being called as the veteran's last One-Day International (ODI).
Reflecting on the same, Panesar said Dhoni would be aiming to lift the World Cup and have a final farewell.
"This is probably Dhoni's dream because this could be his last one-day he plays and retires with winning the World Cup. I am sure he probably in the background wants to win the World Cup, have his final farewell," he said.
When asked what does he think about India's bowling attack, the former England spinner said Indian bowling unit has been doing well in the last couple of years.
Panesar also lauded Jasprit Bumrah and Mohammad Shami.
"India's seam attackers (have) definitely done very well in the last couple of years. They have got the number one bowler in the world Jasprit Bumrah. And Mohammad Shami is in great form with his hat-trick," he said.
Talking about India's performance in the ongoing World Cup so far, Panesar said the Men in Blue are performing well and playing brilliant cricket.
He further said that India can adapt to the situation very easily.
"India have been performing very well. They played brilliant cricket (against Australia at the Oval). When they played Pakistan at Old Trafford, they batted first and posted a huge total. India are very adaptable at the moment. They are able to chase," he added.
Table-toppers India's first semi-final of the World Cup against New Zealand at Old Trafford is currently underway. New Zealand won the toss and elected to bat first.