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Tuesday, 1 August, 2000, 09:58 GMT 10:58 UK
State pensions increase in Uzbekistan

State pensions and some salaries in Uzbekistan are today increasing by an average of fifty per cent.

State salaries are reviewed by the government each year, but adjustment is usually made in stages, not all at once.

Today's increase follows a raft of new currency measures introduced in July. These included an additional exchange rate - close to the unofficial or black market rate - for the buying and selling of hard currency. Economists say their full impact is unlikely to be felt for some months yet.

But the BBC's Central Asia correspondent says there is concern that this latest move could lead to further inflation, and people have been stocking up on essentials like flour and oil in anticipation of price rises.

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