The BBC's Ben Richardson
Media playback is unsupported on your device
Video

Growth pushes India to raise rates more than predicted

India has raised interest rates by more than had been expected.

The rate at which it lends to banks has risen to 6%. A second rate, used to absorb excess cash in the system, went up to 5%.

India's central bank is battling inflation that is well above its target level thanks to strong economic growth.

Ben Richardson reports from Mumbai.

Go to next video: India's retailers look to festive boost