Indian Prime Minister Manmohan Singh Wednesday said lack of political consensus is hurting India' s economic development, while lamenting "domestic development" which he said is hindering the country's economic growth.

Speaking to mark the country's 66th Independence Day, Singh said the government is also committed to fighting corruption while making sure sincere officials are not affected by baseless allegations of wrongdoing by the opposition and some civil groups.

He said India was unable to create the environment for rapid economic growth "because of a lack of political consensus on many issues".

"Time has now come to view the issue which affect our development processes as matters of national security," he said while addressing a large audience at Delhi's historic Red Fort.

Last year, India failed to pass a law to allow foreign direct investment in retail trade due to strong opposition from various political parties including some allies of the United Progressive Alliance government.

The country has also seen sharp disputes between the government and the opposition led by the Bharatiya Janata Party over many issues which has virtually paralyzed the work of the Parliament.

Indian President Pranab Mukherjee has also warned the country against "flirting with chaos" with too many protests.

On the economic situation, the prime minister said India cannot escape the global economic crisis, but the country's GDP growth would still be "a little better" than last year's 6.5 percent.

He also warned that controlling inflation would had become tougher because of this year's poor monsoon rains.

India's inflation rate stands at above 10 percent.