SEOUL - South Korea's central bank on Thursday froze its policy rate amid lingering uncertainties such as massive household debts and the local currency's depreciation against the US dollar.

Bank of Korea Governor Rhee Chang-yong and other monetary policymakers decided to leave the benchmark seven-day repurchase rate unchanged at 2.75 percent.

It was in line with market expectations. According to the Korea Financial Investment Association's poll of 100 fixed-income experts, 88 percent predicted the rate freeze this month.

All six monetary policymakers opened a possibility for an additional rate cut in the next three months.

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The bank slashed the key rate by a quarter percentage point in February on the back of a gloomier growth forecast for the South Korean economy, after cutting it by the same percentage point in October and November last year.

The central bank lowered this year's growth outlook for the Asian economy by 0.4 percentage points to 1.5 percent in February compared to three months earlier.

Downside pressure mounted on the economy after a US tariff imposition, but the still weak local currency against the greenback discouraged the central bank from cutting rates further.

The bank said in a statement that downside risks to economic growth intensified on sluggish economic activities in the first quarter and the deterioration in global trade conditions.