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Microsoft has launched a new wallet-friendly smartphone that gives the Motorola Moto E a run for its money.

The Nokia Lumia 530 is being touted as the most affordable Lumia yet. And with a price tag of 85 euros (£67), it looks like it'll be one to reckon with in the war of the budget blowers.

nokia lumia 530

Despite its low price, the Lumia 530 runs Windows Phone 8.1, which is the latest version of Microsoft's mobile OS.

Inside is a quad-core 1.2GHz Qualcomm Snapdragon processor that should keep things running nicely. It also has a microSD card slot - impressive, for this price.

The Lumia 530 is pretty small by today's standards, though. The screen is a 4-inch LCD, with a resolution of 854x480 pixels.

And although there's a 5-megapixel camera on the back, as with the Lumia 630, there's no front-facer.

Storage has also been halved from the Lumia 630, to a paltry 4GB. But you can bulk it up with a 128GB microSD card.

Set to go on sale in August, the Lumia 530 will come in bright orange, bright green, white, and dark grey. The back plates are interchangeable, so you can swap them as you see fit.

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