South Korea's central bank kept its benchmark interest rate unchanged Thursday to safeguard financial stability amid a weakened local currency and an unstable housing market.

In a widely expected decision, the Monetary Policy Board of the Bank of Korea kept the key rate steady at 2.5 percent at its rate-setting meeting in Seoul.

It marked the fourth straight on-hold decision, even as the central bank remains in an easing cycle. Since October last year, the BOK has cut the key rate by a cumulative 100 basis points from 3.5 percent in an apparent move to support economic growth.

Local experts noted the BOK can afford to take a wait-and-see approach before delivering an additional rate

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