Indian food prices drive up inflation, strengthening rate hike view
date:Oct 15, 2013
economy, which some analysts define as akin to stagflation.

India is struggling to lift its economic growth rate, which hit a decade-low of 5 percent in the fiscal year that ended in March. But Rajan has clearly signaled that he will focus on price stability, which he sees as a necessary condition for raising the rate of growth.

Higher interest rates are likely to further dent hopes of faster growth, however. That will be a worry for Prime Minister Manmohan Singh's Congress party as it campaig
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