Anti-corruption protests in Bhopal and Kanpur marred the UPA-II Government's fourth anniversary celebrations on Wednesday.
A series of high-profile scandals have eroded trust and stymied policymaking in Prime Minister Manmohan Singh's administration in recent months.
A string of billion-dollar scandals has sparked widespread public anger against the government.
The corruption saga has also dented investor confidence and smothered reforms such as on land acquisition that could help maintain the momentum of one of the world's fastest-growing economies, which has showed signs of slowdown.
Bharatiya Janata Party youth wing supporters took out a wedding procession as a mark of their protest against the central government.
The president of the Bharatiya Janata Yuva Morcha (BJYM) in Madhya Pradesh, Amardeep Maurya, said: "We are trying to spread the message among the youth that the government is immersed in corruption. As a mark of our protest, the youth have come out on the streets and are taking out a wedding procession."
Meanwhile, in Kanpur, traders staged protests against the anti-people policies of the government.
Kamal Sharma, a protester, said: "Everyday scams in which the government is involved are coming to light. The prices of fuel and essential commodities is increasing to such a rate that the inflation has increased four-fold. We are continuously protesting against the introduction of foreign direct investment (FDI) in retail."
After months of dithering on the economy, India's beleaguered government roared back to life in dramatic fashion in September 2012, announcing big bang reforms as part of package of measures aimed at reviving growth and staving off a ratings downgrade.
The UPA government won a second parliament vote on allowing foreign supermarkets into the country, paving the way for Prime Minister Manmohan Singh to press ahead with more reforms, including freeing up a cash-strapped insurance sector.
While the Rajya Sabha vote was symbolic, the government's victory was a boost for its push to implement a controversial economic reform agenda seen as crucial to reviving growth and reducing a bloated fiscal deficit.
The government had already won a vote on retail reform in the Lok Sabha two days earlier. The policy will allow global retailers such as Wal-Mart Stores Inc to set up shop in the country's 450 billion dollars retail sector, and is aimed at drawing more overseas investment and taming inflation.
The government had tried to defuse a political crisis over the coal deals that has deepened a perception of dysfunction in the world's biggest democracy and derailed Prime Minister Singh's efforts to win back investors.
Singh had denied any wrongdoing and pointed out that it was his government that proposed competitive bidding.
Singh's government has struggled to defend itself against allegations that it awarded coalfields potentially worth billions of dollars to private and state power, cement and steel companies in a process that was corrupt at worst and lacked transparency or any element of competition at best.
