UPDATE-INTERVIEW-Poor infrastructure, corruption weigh on India

* Infrastructure, regulation, corruption still plague India

* IFC to maintain India investment at about $1 billion a year

* Inclusiveness of growth important (Adds details, quotes, background)

By Tony Munroe

MUMBAI, Nov 16 (Reuters) - Poor infrastructure, regulation, and corruption hinder business and economic growth in India, although the country is showing willingness to address shortcomings, a top official with the World Bank's private sector arm said.

The International Finance Corp has been adding about $1 billion of portfolio exposure a year in India, a pace it aims to maintain in coming years, executive vice president and chief executive Lars Thunell said.

"There are still lots of opportunities for improvement," Thunell said in an interview towards the end of a visit to India.

The IFC is a private-sector lender that also takes direct equity stakes in firms or projects. India is its largest market, and the multilateral agency is increasingly focused on investment in the country's poorest states.

Thunell said poor infrastructure remains perhaps the biggest hurdle facing economic growth in India, and is an area of investment focus, along with efforts related to climate change.