In your Blogger post editor Transliteration button that let's you to type in selected languages. On February 16, 2011, Blogger adds more languages to this tool. That includes Amharic, Arabic, Bengali, Greek, Persian, Gujarati, Kannada, Hindi, Malayalam, Marathi, Nepali, Punjabi, Russian, Sanskrit, Serbian, Tamil, Telugu, Tigrinya, and Urdu.
To enable this feature go to Settings >> Basic tab. Select Enable from Enable transliteration option. These updates are only available on New Post Editor only.