Business & Finance
India Central Bank monetary tightening affecting economic growth
NEW DELHI : The Indian central bank's monetary tightening is impacting the country's economic growth, Finance Minister P
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The Reserve Bank of India lifted its policy lending rate, called the repo rate , by 25 basis points to 8.25 percent, in line with expectations, as it persisted in a fight with inflation that has proven mostly futile.
Headline inflation for August rose to 9.78 percent, its highest level in more than a year, data showed on Wednesday.
India's domestic demand driven economy grew 7.7 percent in the April-June period, its weakest pace in six quarters, but outperformed even gloomier predictions.
Copyright Reuters, 2011