The territorial division in the Rashtrakuta Empire was called "Rashtra".

Explanation:
The Rashtrakuta Empire was a prominent empire that ruled over large parts of the Indian subcontinent from the 8th to the 10th century CE. It was known for its military prowess, patronage of arts and culture, and significant territorial expansion.

Territorial Division in the Rashtrakuta Empire:

1. Rashtra:
- The Rashtrakuta Empire was divided into various administrative units called "Rashtra". The term "Rashtra" translates to "kingdom" or "state" and was used to denote a specific territorial division within the empire.
- Each Rashtra was headed by a governor or a local ruler who acted as a representative of the Rashtrakuta king.
- The governor of the Rashtra was responsible for the administration, maintenance of law and order, and collection of taxes within the assigned territory.
- The Rashtra was further divided into smaller administrative units known as "Vishayas" or "Bhuktis".

2. Vishaya/Bhukti:
- The Vishaya or Bhukti was a sub-division within the Rashtra.
- It was governed by an official appointed by the governor of the Rashtra.
- The Vishaya/Bhukti was responsible for the day-to-day administration of the region, including the collection of revenue, maintaining records, and resolving disputes at the local level.
- The Vishayas/Bhuktis were further divided into smaller units called "Nadus" or "Gramas", which represented villages or smaller settlements.

3. Nadu/Grama:
- Nadu or Grama was the smallest administrative unit within the Rashtrakuta Empire.
- It represented a village or a group of villages.
- Each Nadu/Grama had its own administrative head, known as the "Gramika" or "Nayaka", who was responsible for the local governance, maintaining law and order, and collecting taxes.
- The Gramika/Nayaka reported to the officials of the Vishaya/Bhukti.

In conclusion, the territorial division in the Rashtrakuta Empire was called "Rashtra", which was further divided into Vishayas/Bhuktis, and then into Nadus/Gramas. The administrative system was hierarchical, with officials appointed at each level to manage the governance, revenue collection, and maintenance of law and order within their respective territories.