Report on the Implementation of the SNA 1993 in Africa

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Report on the Implementation of the SNA 1993
in Africa
UNECA Workshop on 1993 SNA 14-18 November 2005
11/16/2009
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Contents

• I. Background and Assessment Methodology
• II Result of the UNECA Survey
• A. Compliance with the 1993 SNA
• B. Scope of Accounts and Tables
• III. Impeding Factors in the Implementation of
  the 1993 SNA
• A. Data Sources
• B. Institutional Issues
• IV UNECA Role in the Implementation of the 1993
  SNA
• V. Points for Discussion

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Measuring SNA 1993 Implementation

• 3 dimensions of SNA 93 implementation
• Scope of accounts compiled MRDS
• Compliance with concepts
• Quality

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Minimum Requirement Dataset MRDS

• What is measured?
• NA Database records received by UNSD based on UN
  National Accounts Questionnaire (NAQ)
•  Tables required
• GDP by type of expenditure in current and
  constant prices
• Value added by kind of activity in current
  and const. prices
• Milestone level 1
• ---------------------------------------
• Accounts for the Total Economy and the Rest
  of the World
• Milestone level 2
• ---------------------------------------
• Components of Value Added by industry
• Minimum requirement dataset (MRDS

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Scope Data Availability in the ECA Region

• 1980s
• Almost 100 of countries in Africa reported to
  UN National Accounts Questionnaire (NAQ) in 1986
• 1990s
• Africa encounters a Statistical Divide between
  countries some stopped reporting and some
  extended the scope of national account
  dissemination to the UN
• Significant drop in reporting only 47 (25
  out of 53) of the African countries responded to
  the UN NAQ from 1992 to early 2003
• 10 countries substantially extended their scope
  of reporting since 1992, of which 6 countries
  maintained the extended scope of the series after
  1997 (i.e. Botswana, Lesotho, Mauritius, Namibia,
  South Africa, Tunisia)
• 3 countries are currently reporting a full set
  of institutional sector accounts (i.e. Botswana,
  Tunisia, and since 2003 Mozambique)

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Conceptual Compliance

• Two ways of 1993 SNA implementation
• and two groups of countries
• Major changes to 1993 SNA all at once the
  majority of Western European countries and
  transition countries opted for this approach
• Step by step implementation

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Conceptual Questionnaire (CQ)

• (Self Assessment by National Statistical
  Institutes and Central Banks)

• Idea Focus on major conceptual differences
  between 1968 SNA and 1993 SNA, which affect GDP
  and GNI
• e.g.
• - Is government defense expenditure on
  fixed assets that can be used for civilian
  purposes included in Gross Capital Formation ?
• - Does consumption of fixed capital CFC include
  CFC on all government fixed assets (roads,
  dams, hospitals, bridges, )
• - etc.
• Mode of response simple Yes / No Evaluation

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• Compliance with 1993 Concepts
• in the regions of the world

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Impeding factors Methodology

• An additional questionnaire module was developed
  to highlight factors that hindered the 1993 SNA
  implementation.
• The various impeding factors were
• institutional environment
• staff resources
• training, and
• data sources

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Compliance with the 1993 SNA
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MRDS and conceptual compliance

• So far, seven out of 28 countries both comply
  with the 1993 SNA concepts, country milestones
  and the MRDS. Moreover, some of the 1993 SNA
  implementers also compile the recommended data
  set of accounts including quarterly national
  accounts
• These 1993 SNA implementers include Botswana,
  Egypt, Morocco, Mozambique, South Africa and
  Tunisia.

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MRDS and conceptual compliance
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1993SNA Implementers

• By reconciling survey results and country reports
  with database reporting, it is reasonable to
  state that around one fifth of African countries
  are 1993 SNA implementers
• software packages are consistent with the 1993
  SNA concepts, and various stages comprise the
  compilation of certain sets of accounts,
  countries in advanced stages in the software are
  expected to be 1993 SNA implementers

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Impeding Factors In the 1993 SNA
ImplementationData sources

• A-Availability of sources in several countries,
• some progress in availability of data sources,
  including
• Household survey
• Informal sector survey
• Agricultural survey
• Industrial survey
• Unemployment surveys
• Concernmethodology, scope, definitions, and
  frequency surveys
• consistency with the 1993SNA
• Efficient use of administrative records and
  Surveys

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Impeding Factors In the 1993 SNA
ImplementationData sources

• Availability of data sources is not the only
  concern
• processing these data into national accounts
  poses a challenge for compilers.
• The challenge is of particular concern when
  national accounts institutions are understaffed
  and resources limited.
• more consideration should also be focused on
  building capacity to process available data
  sources, including creation of bridge tables
  and special interfaces between data sources and
  1993SNA

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Impeding Factors In the 1993 SNA
ImplementationInstitutional Issues

• the number of national accountants fluctuates
  between three and twelve with the exception of
  Morocco, Nigeria, South Africa, Egypt, Tunisia,
  Cameroon, and Gabon with respectively 60, 57,38,
  25, 20, 19 and 20 staff members in the SNA.
• Professional staff number from 3 to 6 in
  exceptional cases, ten professionals.
• Staff size and level may be related to the
  profile of national statistical agencies. From
  country to country department, division or
  section may be in charge of compiling national
  accounts statistics.

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1993SNA Implementers Best Practices of Selected
Countries

• Collaboration between the Reserve Bank and the
  Statistics on the compilation of financial sector
  accounts and GDP by expenditure.
• VAT database at the fiscal department is directly
  accessible by the Statistic Office
• From ten national accountants to almost sixty
  National Accountants
• Annual compilation of National accounts with the
  software application long term investment

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PartnersInitiatives on National Accounts

• Composed by two main activities
• Financial Support financing of project in
  compilation of National Accounts,including ICP-
  Africa in 51 countries and .
• Technical assistance (TA) Capacity Building
  activities including workshop, training and
  materials promotion (software and documents).

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PartnersInitiatives on National
AccountsConclusion

• Despite these joint effort through capacity
  building and funding, Implementation rates of
  1993SNA remain low in Africa. Therefore mechanism
  and coordination of funding activities and the
  capacity building activities require to be
  reviewed
• The NSDS and Statistical Master Plans may be used
  as the major framework where donors and partners
  supports are channeled and harmonized to attain
  common targets

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ECA and the Intl organizations Role in The
Implementation of 1993 SNA

• Advise on national statistical offices
  organization and management, including
  development of statistical master plans
• Advise on national statistical offices
  organization and management, including
  development of statistical master plans
• Conduct regular trainings and workshops on
  national accounts.
• Assist countries in the development of basic
  data, consistent with the 1993 SNA
• Assist with the processing of these basic data
  into national accounts
• Assist with various materials including documents
  and software

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Points for Discussion

• Assessment methodology
• Recommendations to address the impeding factors
  in the implementation of the 1993 SNA
• Overall progress in the revision of the 1993 SNA
• The opportunity of the 1993 SNA revision to speed
  up its implementation in Africa