Seoul: The South Korean central bank on Thursday raised to 2 percent its growth forecast for the local economy this year, citing strong exports and a recovery in private consumption. The revision by the Bank of Korea (BOK) represents a 0.2 percentage-point increase from its previous forecast of a 1.8 percent expansion issued in November.

According to Yonhap News Agency, the upbeat outlook led the BOK to maintain the key interest rate at 2.5 percent. The decision underscores the bank's focus on ensuring financial stability amid housing market volatility and a weakened local currency.