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    <title>Cut in Repo Rate</title>
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    <description>A reduction in the policy repo rate under the liquidity adjustment facility prompted a decline in the median base lending rate and selective base rate cuts by individual banks. Under the Base Rate System banks operate in a deregulated environment where they determine lending spreads, risk premia, term premia and customer specific charges with board approval, so transmission of policy rate changes varies across institutions.</description>
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