The Communists on whom Prime Minister Manmohan Singh's government relies for a majority in parliament appealed to other allies of the ruling coalition to pressure the government to change its economic policies.

"The government has messed up the whole issue," Communist leader A.B. Bardhan told reporters in New Delhi, the Press Trust of India news agency reported.

Bardhan said the Communists would spearhead the nationwide protest starting July 13 and ending on July 19. It gave no immediate details of the protest.

Singh's government came to power following general elections in May 2004 promising economic reforms with "a human face."

Though India has registered impressive growth rates since the introduction of market reforms in 1991, about 40 percent of its billion-plus population still live on less than one dollar a day, according to World Bank figures.

India's economy grew by 8.4 percent in the year to March, beating previous estimates of 8.1 percent, but inflation has also picked up, hitting 5.44 percent in the week to June 17, its highest level in 13 months mainly due to an increase in fuel prices, which the Communists had opposed.

Last month, the government also announced plans to sell 10 percent stakes in lignite mining and power generating firm Neyveli Lignite and India's second largest aluminium-maker, National Aluminium Co Ltd.

This move has angered the Communists who have been against sales of stakes in profitable state-run firms.

The government says the sale proceeds would be deposited in the National Investment Fund to be used for social sector projects and reviving ailing state-run firms.

The government has not said how much revenue the sales would generate, but media reports have said it would be about 555 million dollars in total.

Employees of both firms have protested the move and workers at Neyveli Lignite threatened to go on strike later Tuesday.

Political analysts had said a resounding Communist victory in key state polls in India in May could spell trouble for the Congress-led government's plans for economic reforms.

The Left has been extremely critical of the government's economic policies -- including the privatisation of airports, opening up of the insurance sector and allowing foreign direct investment in retail.