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Strong franc causes concern in Switzerland

3 August 2011 Last updated at 19:14 BST

The Swiss National Bank has cut its target for inter-bank lending in an attempt to lower demand for the Swiss franc, which is seen as a safe investment amid concerns over the euro and US dollar.

The rapid rise of the currency is a concern for exporters and is also having an impact on Switzerland's tourism industry, as Theo Leggett reports.