WASHINGTON: India was among the countries worst affected by terror with militant attacks in Jammu and Kashmir and in the Northeast, strikes by Naxalites and attacks elsewhere in the country taking a toll of more than 2,300 lives in 2007, the US State department said in its annual report on terrorism.

The State department said terrorist activities along the Line of Control in Jammu and Kashmir are on the decline but Pakistan-based militant outfits like the Lashkar-e-Toiba and other terrorist groups continue to plan attacks in the Valley.

The report said Indian government`s counterterrorism efforts remained hampered by outdated and overburdened law enforcement and legal systems.

"The Indian court system was slow, laborious, and prone to corruption. Terrorism trials can take years to complete. Many of India`s local police forces were poorly staffed, lacked training, and were ill-equipped to combat terrorism effectively," the report said.

Noting about the attack on Samjhauta express in February last year, the report said adding that it was carried out by extremists who tried to incite anger among the Hindus and Muslims.

The report also took note of the formation of the anti-terrorism mechanism between India and Pakistan to coordinate and exchange information on terrorists.