Chile central bank again holds benchmark interest rate

June 16 (Reuters) - Chile's central bank held its benchmark interest rate for the fourth consecutive decision at 4.5% on Tuesday, a unanimous vote that met analysts' expectations, as inflation slightly slowed down within the bank's target range.

Annual inflation in the world's largest copper producer hit 3.9% in May, down from the 4% registered the previous month and at the top of the central bank's target range of 2% to 4%.

The central bank said while the balance of risks to inflation was leveling out, the macroeconomic climate remained subject to a greater than usual level of uncertainty.

Chile is one of Latin America's largest oil importers due to a lack of domestic production, leaving it highly exposed to international price fluctuations.

Local fuel prices have also risen sharply under measures implemented by President Jose Antonio Kast's government to align domestic prices with rising international levels.

"Looking ahead, public spending is expected to provide greater momentum, while household consumption - the fundamentals of which have weakened - is expected to provide less of a boost," the central bank said in a statement.

"Investment is also being revised downwards for this year, although the medium-term projections are rising," it added.

Traders polled by the bank earlier this month had predicted the monetary authority would keep its benchmark interest rate unchanged at 4.5% and remain at that level to the end of this year.

The bank is set to publish updated macroeconomic projections on Wednesday. (Reporting by Fabi?n Cambero and Fabiola Ar?mburo, Editing by Daina Beth Solomon)