SANTIAGO, Feb 1 (Reuters) - Chile's central bank only

considered keeping its key lending rate on hold last month

against a backdrop of brisk domestic growth and controlled

inflation, the minutes of January's monetary policy meeting

showed on Friday.

All five members of the bank's governing board voted to keep

the rate steady at 5 percent, where it has been

held since a surprise cut in January 2012.

'It was estimated that maintaining the (rate) was justified

(because of) its current level being within a range of neutral

values. Moreover, the current level was consistent with

inflation converging to the target within the projection

horizon,' the bank said.

In standard monetary policy parlance, a neutral interest

rate neither spurs or curbs economic growth, all other factors

being equal.

The bank is expected to keep rates steady at its Feb. 14

policy meeting, and the rate is likely to inch up to 5.25

percent in 12 months, the bank's fortnightly poll of traders

showed late last month.

Chile's consumer price index was flat in December, bringing

inflation in the 12 months to December to 1.5 percent, the INE

government statistics agency reported last month.

That is well below the central bank's target range of 2

percent to 4 percent and the lowest rate since at least December

2011.

Here's a link to the central bank's minutes: http://www.bcentral.cl/eng/policies/monetary-policy-meetings/pdf/minute_RPM_January2013.pdf

(Reporting by Santiago Newsroom; Writing by Anthony Esposito)

Keywords: CHILE CENBANK/MINUTES

(anthony.esposito@thomsonreuters.com)(+562-370-4253)

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