Washington DC, March 19 -- The US Federal Reserve has decided to keept its benchmark federal funds rate unchanged at 3.5%-3.75%.

According to an official press release on Wednesday, the Fed said, "Available indicators suggest that economic activity has been expanding at a solid pace. Job gains have remained low, and the unemployment rate has been little changed in recent months. Inflation remains somewhat elevated."

The central bank reiterated its dual mandate to achieve maximum employment and inflation at 2% over the longer run, adding that uncertainty about the economic outlook remains elevated. "The implications of developments in the Middle East for the US economy are uncertain. The Committee is attentive to the risks to both sides ...