KUALA LUMPUR, May 7 (Xinhua) -- Malaysia's central bank on Thursday kept its benchmark overnight policy rate (OPR) unchanged at 2.75 percent, marking the fifth consecutive decision to hold rates steady, while warning that the ongoing conflict in the Middle East continues to pose risks to the country's growth and inflation outlook.

Photo taken on Aug. 14, 2020 shows the building of Malaysian Central Bank, Bank Negara, in Kuala Lumpur, Malaysia.(Photo: Xinhua)

Bank Negara Malaysia (BNM) said in a statement that the Monetary Policy Committee decided to maintain the policy rate as the current monetary stance remains supportive of sustainable economic growth and price stability.

BNM said the uncertainties surrounding the duration and severity of the Middle East conflict will affect the outlook for domestic growth and inflation.

While higher global commodity prices linked to the Middle East conflict are expected to increase domestic cost pressures, BNM said inflationary impacts are likely to remain manageable due to domestic policy measures and stable demand conditions.