A senior Australian official has cancelled plans to visit Mumbai this week amid heightened fears terrorists may be planning a fresh wave of attacks on the city, highlighting the severity of the threat India still faces from Pakistan-based militant groups.

The decision by John Brumby, premier of the state of Victoria, to scrap the two-day Mumbai leg of his India trip comes days after Canberra warned: “Credible information indicates that terrorists may be planning further attacks in Mumbai, including places frequented by tourists, in September or October 2009.”