Washington  - India is incapable of adequately responding to the threat of terrorism because of poor coordination between regional authorities and an inefficient legal system, the US State Department said in a report released Thursday.

The State Department's annual report on global terrorism for 2008 said that India was among the world's top targets despite a strong government commitment to fighting terrorism.

"Although clearly committed to combating violent extremism, the Indian government's counterterrorism efforts remained hampered by its outdated and overburdened law enforcement and legal systems," the report said.

India was targeted in November by one of the worst recent attacks, when terrorists killed more than 180 people in Mumbai, one of the country's largest cities and top destinations for Westerners. Other attacks claimed dozens of more lives, and are frequently blamed on Islamic extremists with roots in rival Pakistan.

In the Mumbai attacks, "local and state police proved to be poorly trained and equipped and lacked central control to coordinate an effective response," the report said.

The State Department said that India has not successfully prosecuted suspects in last year's attacks but praised a proposal by the government to reform its counterterrorism apparatus.

India's Parliament has introduced legislation to restructure counterterrorism laws and proposed creating a National Investigative Agency to build a national-level ability to investigate and prosecute alleged terrorist activity.

Since the Mumbai attacks, India has looked to improve counterterrorism cooperation with the United States and European Union, the report said.