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19.

The inflation

rate had been reduced from 18.5%

in September 1988 to 17.8% in 1989 and 2.1% in 1990. In

the seccnd half of 1991, the rate had been reduced to

1.8%.

20.

Over the past three years, there had been a

considerable change in the state's pricing systems. The

price of many goods had been increased by 30% to 50% but,

despite this, the economy had remained stable and the

value of savings in the banks had remained reasonably

constant. This appeared to indicate that the population

seemed to be taking the price increases in their stride.

Questions and Answers Session

21.

A number of questions

were raised after the

briefing. These and the answers given are detailed in

the following paragraphs.

Events in the USSR

22.

China?

Will the current situation in the USSR influence

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