9/16/11 (AEIN) India's central bank plans to raise a key interest rate by one-quarter percent in an attempt to curb high inflation in living expenses. The bank has previously increased this rate several times for the same reason, Radio Japan reported in a news broadcast on Friday.
Inflation in the large South Asian country has risen to approximately ten percent. At the same time, economic growth slowed during the past year. Indian state radio recently reported that many Indians were investing in gold as a result of this economic situation.
Although India's economy has seen progress in some areas during recent years and it has become a hub for outsourced office work from Western countries, the nation maintains high levels of malnutrition and access to clean drinking water remains problematic.