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Swiss Central Bank Raises Key Rate Unexpectedly

The Swiss National Bank raised its key interest rate unexpectedly on Thursday, to combat inflationary pressures.

The bank raised the policy rate and the interest rate on sight deposits at the SNB by half a percentage point to -0.25 percent from -0.75 percent.

"It cannot be ruled out that further increases in the SNB policy rate will be necessary in the foreseeable future to stabilise inflation in the range consistent with price stability over the medium term," the bank said in the statement.

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by Renju Jaya

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