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Raghuram Rajan surprises yet again, hikes repo rate by 0.25%

In an unexpected move, the Reserve Bank of India (RBI) hiked its repo rate, or its main lending rate, by 0.25 per cent to 8 per cent. Banks are expected to hike their lending rates after the RBI's surprise move.

Despite some easing in inflation, majority of economists in an NDTV poll had forecast that the central bank is likely to keep its policy rates steady.

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