Surprise at Indian rates freeze

BBC NEWS | Business | Surprise at Indian rates freeze: "India has kept a key short-term interest rate on hold, surprising experts who had expected further action to control inflationary pressures.

India's central bank froze its reverse repo rate at 5.5%, ignoring calls by some economists for another rise after January's quarter point boost. However, the Bank did admit that rising energy costs presented a threat to long-term financial stability. The Indian economy grew by 8.1% last year and some ministers believe that annual expansion of 10% is attainable."