1. POST PROVIDES EXCHANGE RATES FOR AUGUST 1995:

SOM/DOLLAR EXCHANGE RATE
XXXXXXXXXXXXXXXXXXXXXXXX

DATE     CENTRAL  AMOUNT OF  COMMERCIAL  BLACK
          BANK     AUCTION     BANKS     MARKET
                  (MLN/SOM)

08/01/95   31.0     12.9      31.0-34.1    33.3
08/03/95   31.2     21.8      31.2-34.3    33.5
08/08/95   31.3     20.0      31.3-34.4    33.5
08/10/95   31.4      7.8      31.4-34.5    34.0
08/15/95   31.4     13.1      31.4-34.5    34.0
08/17/95   31.5     14.7      31.5-34.6    35.0
08/24/95   32.2     46.3      32.2-35.4    37.0

RETAIL PRICES
XXXXXXXXXXXXX

        (IN SOM/KG, UNLESS OTHERWISE NOTED)
                     7/25/95   8/11/95   8/29/95

MINIMUM WAGE
(SOM/MONTH)         150.0     150.0     150.0

EXCHANGE RATE
(SOM/USD)
-OFFICIAL            30.8      31.4      32.2
-BAZAAR              33.0      34.0      38.0

BEEF                 35.0      35.0      33.0
LAMB                 60.0      60.0      55.0
BREAD (ONE LOAF)      6.0       6.0       6.0
BUTTER               90.0      90.0      90.0
POTATOES              7.0       9.0      11.0
OIL (LITER)          50.0      50.0      45.0
EGGS (ONE)            2.0       2.0       2.2
RICE                 12.5      13.0      13.0
CHICKEN (ONE BIRD)   60.0      60.0      60.0
ONION                 4.0       4.0       3.0
CARROTS               5.0       5.0       4.0
SUGAR                25.0      25.0      25.0
SOAP (ONE PIECE)      8.0       8.0       8.0
FLOUR                13.3      13.3      13.3
GASOLINE (LITER)     10.0      10.0      10.0
PUBLIC TRANSPORTATION
FOR ONE TRIP          3.0       3.0       3.0

MAJOR ECONOMIC LAWS AND DECREES

1. WAGE INCREASES: EFFECTIVE SEPTEMBER 1, 1995, PENSIONS, ALLOWANCES, SCHOLARSHIPS, AND WAGES FOR GOVERNMENT FUNDED ORGANIZATIONS ARE INCREASED. THE MONTHLY MINIMUM WAGE WILL BE 250 SOM, MONTHLY MINIMUM PENSION - 645 SOM, AND THE MINIMUM WAGE FOR BUDGET FUNDED ORGANIZATIONS - 400 SOM. THE FIRST 400 SOM OF MONTHLY WAGES IS NON-TAXABLE. MONTHLY WAGES OF BUDGET FUNDED INSTITUTIONS AND ORGANIZATIONS IS INCREASED 33 PERCENT. TEACHERS AND TEACHING STAFF WAGES ARE INCREASED 50 PERCENT. THE MONTHLY FAMILY ALLOWANCE FOR CHILDREN UP TO AGE 2 IS INCREASED TO 350 SOM. MONTHLY BENEFITS FOR PEOPLE DISABLED FROM BIRTH IS NOW 645 SOM. THE EDICT ALSO ORDERS THE CREATION OF A SPECIAL FUND TO REWARD OUTSTANDING WORKERS WITH BONUSES EQUAL TO 15 PERCENT OF THEIR MONTHLY SALARY.

2. CREATION OF FOREIGN INVESTMENT AGENCY. THIS AGENCY WILL HAVE MANAGEMENT ASSISTANCE FROM UNDP AND OTHER INTERNATIONAL ORGANIZATIONS INVOLVED WITH INVESTMENT ACTIVITY. THE AGENCY'S BASIC RESPONSIBILITIES WILL INCLUDE:

   • DEVELOPING AND CARRYING OUT A PROGRAM FOR FOREIGN INVESTMENT IN COOPERATION WITH INTERNATIONAL ORGANIZATIONS;

   • DEVELOPING PROPOSALS FOR ATTRACTING FOREIGN INVESTMENT AND THE PROCESSING OF SUCH PROPOSALS;

   • STUDYING THE INVESTMENT CLIMATE IN DIFFERENT SECTORS OF UZBEKISTAN'S ECONOMY AND COMPARING IT WITH THAT IN OTHER COUNTRIES; AND

   • PREPARING AND DISSEMINATING TO FOREIGN BUSINESSMEN PUBLICATIONS CONCERNING FOREIGN INVESTMENT ACTIVITY IN UZBEKISTAN AND THE GOVERNMENT'S INVESTMENT POLICIES.

B. SUPPORT FOR GOU SMALL BUSINESS PROGRAM: ORDERS OBLAST AND LOCAL GOVERNMENTS TO PLAN AND IMPLEMENT PROGRAMS FOR SUPPORT OF SMALL BUSINESS ACTIVITIES.