Regional Progress Reports

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1 International Comparison Program [05.02] Regional Progress Reports As of October 12, rd Regional Coordinators Meeting October 21-22, 2010 Washington DC

2 Table of Contents Africa... 4 I. Coordination aspects... 5 II. Country participation... 5 III. Funding... 5 IV. Regional activities/meetings... 6 V. Progress with product list VI. Progress with national accounts VII. Operational materials VIII. Country readiness for 2011 activities IX updates: Asia Pacific I. Coordination aspects II. Economy participation III. Funding IV. Regional activities/meetings V. Progress with product list VI. Progress with national accounts VII. Operations Manuals VIII ICP Asia Pacific Software Suite IX. Economy readiness for 2011 activities X. The 2009 PPP Updates CIS Annex 1. Schedule of the works on international comparisons of GDP Eurostat-OECD PPP

3 Latin America and the Caribbean I. Coordination aspects II. Country participation III. Funding IV. Regional activities / meetings V. Product list VI. National accounts VII. Operational materials VIII. Country readiness for 2011 activities Pacific Countries Purpose Background Executive Summary Implementation Plan Costs Action required Annex 1 Proposal for Pacific Participation in the ICP report prepared by Mr Keith Blackburn on behalf of the Australian Bureau of Statistics (excluding Appendices) Annex 2 Australian Bureau of Statistics Project Implementation Plan and Costings for Pacific Countries Participation in the 2011 International Comparison Program Western Asia I. Coordination Aspects: II. Country Participation: III. Funding: IV. Regional Activities/Meetings: V. Progress with Product List: VI. Progress with National Accounts: VII. Operational Materials: VIII. Country Readiness for 2011 activities: Annex 1. Terms of Reference: Regional Governance Framework for Western Asia Region

4 Africa 4

5 Africa Regional Report on the Readiness for the 2011 Round in the Region Proposed areas to cover I. Coordination aspects - Regional Coordination team The team is in place consisting of all the staff in Statistics Capacity Building Division. The team collaborates with staff from SROs/RECs. - Advisory Board The Board has since been constituted chaired by head of Stats SA. Other members include, representatives of CEN-SAD, ECOWAS, ENSEA, ECCAS, COMESA, IGAD, SADC, UMA, AFRISTAT, AfDB, AU, ECA and ACBF; Heads of Statistics Offices for Kenya, Nigeria, Senegal, Cameron, Morocco, Egypt, Mozambique and Gabon; one representative from the STCs; Regional co-ordinator as Ex-officio and; GO manager as Ex-officio. II. Country participation - Expected number of countries Expected number of countries is Confirmations received So far all the 51 have confirmed. - Any issues to report The issue on language has continued to be problematic especially for French speaking countries. This resulted in delays in terms of communicating with countries on a number of issues. And more recently Libya asked for documents in Arabic, but efforts are being made to resolve them by ensuring Arab speaking consultants are engaged missions and workshops to help translate and interpret. III. Funding - Total yearly budget Enough funds will be allocated for ICP activities. - Funding procured/ commitments from financiers Apart from ADF, we have USD 6 millions from ACBF for years; ISDB pledged USD 2 millions. 5

6 None. - Contribution of regional coordinating agencies (monetary and in-kind) - Yearly budget deficit No deficits are anticipated for ADF countries. For ADB countries we have MIC which will be resolved by October. IV. Regional activities/meetings - Launching/inception activities The first ICP-Africa regional workshop was held from 14 to 25 June 2010 at Safari Park Hotel Conference Centre, Nairobi, Kenya. The workshop brought together Heads of National Statistical Offices, Prices and National accounts experts from 49 Regional Member Countries and Representatives of Statistical Training Centres, African Regional and Sub-regional organizations and the ICP Global Office/World Bank. The main objective of the workshop was to launch the 2011 ICP-Africa round activities discuss and agree on the work program and provide participants with all the necessary information for the implementation of the 2011 ICP-Africa round. The prices statistics sessions focus was on the review of the Global core list (V4) developed by the Global Office (GO) and the 2005 ICP-Africa items list, the presentation of the 2011 ICP Quality Assurance Check Lists, the ICP Software Modules with the ICP-Africa data processing software called Genesis, and the intra country validation of the 2009 ICP-Africa prices data with the help of AfDB, AFRISTAT, COMESA, ECOWAS and the GO. For national accounts experts focus was on taking stock of the guidelines prepared on 2011 ICP- Africa round national accounts activities, contributing to review the ICP 2011 Global Core List Related to Major Household Products, reviewing the GDP breakdown estimates for 2009 and ICP national accounts specific surveys for 2009 and The second Regional workshop was organized in Hammamet, Tunisia from 30 th August to 3 rd September, 2010 and aimed at finalizing the Regional items list, the price survey design and the validation of price and national accounts data in preparation for the 2009 regional purchasing power parities (PPPs) computations that was initiated in Nairobi. The workshop brought together National Accounts and Price Statisticians who are responsible for day-to-day implementation of the ICP program at country, sub-regional and/or Regional level. In attendance also were lecturers and researchers from Statistical Training Centres. 6

7 - Technical assistance activities (prices and national accounts) Technical assistance will be required in the preparation of the ICP-Africa operational manual. In additional the following TA will be required in Price Statistics and National Accounts respectively; Technical Assistance activities for Price statistics: 1. Elaboration or updating survey frameworks and related data collection preparatory activities; 2. Training of data collectors, data entry clerks and supervisors; 3. Support on the use of ICP data collection and validation tools; 4. Support on any specific request about ICP methodology. Technical Assistance activities for National accounts: 1. Technical assistance will be provided to some countries for the estimates of GDP expenditure and improvement of national accounts; 2. Use of new forms and meta data reports for 2011 ICP round GDP breakdown process; 3. Investigation of the coverage, source of data and indicators for estimation of NPISH final consumption expenditure; 4. Use of informal sector surveys data for NA purposes; 5. Capacity building in the principles underlying SUTs in view of improving the quality of NA data in the medium term; 6. Insuring consistency between prices in NA values and prices collected. 7

8 - Calendar of upcoming activities (2010/2011) Price Statistics: N Price activities Deadline Responsibles 1. Submission of the ICP-Africa National Coordination Team to AfDB and SRO 10 September 2010 Countries 2. Country Survey Framework Report submission 30 September 2010 Countries 3. Updating the Regional List 15 September 2010 AfDB and SRO 4. Final submission of the 2009 price data 17 September 2010 Countries 5. Sending to countries the ICP price survey material including field instruments and survey forms 05 October 2010 AfDB and SRO 6. Training ICP price survey field staff in countries 20 October 2010 Countries 7. Sending to countries and SRO for review the 2009 ICP-Africa preliminary results 8. Training of trainers on ICP-Africa 2011 Software (Genesis Software and ICP Country Software) 9. Training on ICP-Africa 2011 Software (Genesis Software and ICP Country Software) for participating countries 10. Sending the final Regional List and Products catalogues to countries 11. Technical assistance mission to countries on ICP price activities - Elaboration or updating survey frameworks and related data collection preparatory activities; - Training of data collectors, data entry clerks and supervisors; - Support on the use of ICP data collection and validation tools; - Support on any specific request about ICP methodology; - Supervision of the work of the national coordination teams. 12. Sub-Regional (ECOWAS, SADC, COMESA, UMA, ECCAS) ICP-Africa price quality control and validation for 2010 (12 months) and 2011 (three months) data 13. Regional ICP-Africa price quality control and validation for 2010 (12 months) and 2011 (three months) data 14. Sub-Regional (ECOWAS, SADC, COMESA, UMA, ECCAS) ICP-Africa price quality control and validation for 2010 (12 months) and 2011 (ten months) data 30 October 2010 AfDB November 2010 AfDB (with the participation of the GO) From December 2010 to February st December 2010 AfDB From September 2010 to September 2011 AfDB and STC AfDB, AFRISTAT, COMESA, SADC, ECOWAS April 2011 AfDB and RECs June 2011 AfDB November 2011 AfDB and RECs 8

9 National Accounts activities N NA activities Deadline/Time frame Responsibles 1. Preparation of Budget and submission to AfDB 30th September 2010 Countries 2. TA missions on 2009 GDP breakdown for selected countries September October Final submission of GDP vectors for st October 2010 Countries 4. Major aggregates (revised) for 2006, 2007, 2008, 2009 Values for all basic headings for 2006, 2007, 2008, Ten (10) Case studies to be conducted by end December 2010 to customize the forms & assess additional workload to countries 6. National Accounts Sub-Regional Workshops (AMU, COMESA, ECCAS, ECOWAS, SADC): Case studies on 2011 ICP National Accounts Meta-data Forms & Specific Surveys Methodology 7. 5 National Accounts Sub-Regional Workshops (AMU, COMESA, ECCAS, ECOWAS, SADC): Preliminary data for rd ICP 2011 Regional Workshop: 2010 GDP Breakdown: Preliminary data 9. Major aggregates (revised data for 2006, 2007, 2008, 2009), preliminary data for 2010 All basic headings for 2006, 2007, 2008, 2009, 2010 (preliminary) National Accounts Sub-Regional Workshops (AMU, COMESA, ECCAS, ECOWAS, SADC): Revised data for 2010 & ICP 2011 Specific Surveys data validation 11. 4th ICP 2011 Regional Workshop: 2010 GDP Breakdown: Revised data & ICP 2011 Specific Surveys data validation November 2010 November & December 2010 December 2011 April 2011 June 2011 July January August-September 2011 November 2011 AfDB & RECs/SROs Countries AfDB & RECs/SROs RECs/SROs RECs/SROs AfDB Countries RECs/SROs AfDB 9

10 Proposed ICP-Africa 2011 Timetable Last Update Proposed ICP-Africa 2011 Timetable 27-Aug-10 Price activities Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug 1 Meetings 1.1 Regional Technical meetings (National coordinators and experts) 1.2 AMU 1.3 COMESA 1.4 ECCAS 1.5 ECOWAS 1.6 SADC 2 Capacity Building, Quality Control and Software 2.1 Technical support and supervision for countries Assistance to Algeria Assistance to Eritrea Assistance to Libya Assistance to Seychelles Assistance to Angola Assistance to Equatorial Guinea Assistance to countries on ICP-Africa Price activities 2.2 Quality assurance framework/ checklists implementation 2.3 Software development (Family of sofware: Integrated African software, GO software, etc) Development of data validation tools Testing and documentation of the data validation tools 2.4 Software deployment, training, and support Training (for Data Processing Tools) 3 Methodology 3.1 Manuals & guidelines (customization to regional needs and translation, if applicable) Review and update of the ICP Training manual (Supervisor, Data Collector) Review and update of the Price collector manual Review and update of specific guidelines and explanations on market segments 4 Price Survey Preparations 4.1 Regional and core product lists (HHC and other GDP components) Desk review of Core list Sending comments to GO Sending Revised GCL to Countries Identification by countries of Available/Not Available/Representative Products Sending Countries answers to GO Updating the 2005 Regional list Developing a Regional Core List (GCL and ICP-Africa List) 4.2 RECS' product lists Identification of RECs' lists Finalization of RECs' lists 4.3 Products catalogue Producing the Regional Core List Catalogue including RECs' lists 4.4 Survey design Survey design and preparation of survey frameworks Assistance to countries 4.5 Price survey data collection forms Updating and development of data collection forms Sending data collection forms to countries for comments Countries send their comments to AfDB Finalization of data collection forms 5 Price Data Collection, Validation and Transmission 5.1 Pilot data collection (if applicable) 5.2 Data collection Data Collection Education Survey Health and Health Services Pharmaceutical Products 5.3 Data validation (intra-country and regional) In country Data Validation RECs' data validation Regional Data Validation 5.4 Calculation of National Annual Average 5.5 Country submission final validated price data to the Regional Coordinators Transmission to AfDB Transmission by countries/recs of validated data to AfDB 5.6 Transmission of final validated price data to the GO Transmission by AfDB of validated data to GO Transmission of Final Validated Data

11 V. Progress with product list - Update of regional lists With the final version of the GCL and the participative work done with countries price experts during the 2 nd Regional Workshop in Hammamet, the African Regional List and its subcomponents is 90% completed. Outlets types have been linked to each product in the list. The Regional Coordinating Team is consolidating all the comments raised during the workshop and come up with a sound List. - Feedback received from countries One of the main objectives of the Hammamet regional workshop was to impart the necessary skills to county price experts who will be responsible for the day-to-day management of ICP activities in their respective countries and to agree on the specifications of household consumption items including food and items to be surveyed in the countries. The Countries representatives made proposals on Products Specifications and agreed on the outcome (Draft regional list) of the exercise. - Inclusion of Global Core items The draft regional list has around 1000 items with 600 products from the Global Core list. - Country responses on the matrix of Availability/Importance Countries have been invited to submit the matrix of Availability/Importance by the end of September 2010 at the latest. Up to now only 16 countries have submitted their matrix of Availability and Importance of products from the Regional list derived from the Hammamet workshop. VI. Progress with national accounts - Compilation of data on major aggregates for the latest available year Major aggregates for the year 2009 are available for 45 countries. - Compilation of basic heading data for the latest available year Since 2005, GDP breakdown exercise is a routine activity in African countries with support and coordination from the AfDB. GDP vectors series ( ) are available for 45 countries. Among 52 countries targeted 8 only have not submitted their GDP vectors for 2009: Burundi, Libya, Djibouti, Equatorial Guinea, Sao Tome e Principe, Seychelles, Angola & Eritrea. TA missions are scheduled in October 2010 to assist these countries. 11

12 VII. Operational materials - Availability of operational materials in regional languages Consideration is being made to hire a consultant to prepare operational manuals. Francophone countries are stilling requesting documents in French. They complain that they disadvantaged in comparison with their colleagues Francophone. - Distribution of operational materials on prices and national accounts to countries (product lists, forms, guidelines, etc.) All the operational materials on Price survey will be sent to countries by the 5 th October Materials include (i) A Trainer s Guide for training of Field supervisors and price data collectors; (ii) Specific guidelines and explanations on market segments; (iii) Manual for price collectors and, (iv) The operational manual for national coordinators in addition to the items list. The copies are attached. Please attach copies We are still waiting for methodological documents on specific surveys. VIII. Country readiness for 2011 activities - Analysis of country readiness based on country responses to readiness questionnaire As at the time of preparing this report, 29 countries out of 50 had responded to the readiness questionnaire. The following table summarizes the responses: Issues Do you believe that you would be ready by December 2010 to start ICP Price Surveys and National Accounts Work in January 2011? Yes=1; No=0; No Response=2 Total Country Establishing the ICP team (National Coordinators, Deputy Coordinators, National Accounts Experts, Supervisors, Fields Staff, Administrative Assistant) Logistical preparations (Office equipment, Credentials and identification cards for price collectors and supervisors, Communication means, etc.) Establishing National Work Plan and Timetable, including Survey period, Timing of data collection, and Frequency of collection

13 Issues Yes=1; No=0; No Response=2 Total Country Preparation of Sampling Frames for Price Data Collection and Guidelines for Outlet Selection Product Specification Work (ICP regional product list obtained from the Regional Coordinator; Identification of common products in CPI and ICP baskets; Identification of products availability; Product specifications translated in local language, if needed) Preparation and Printing of Data Collection Forms Determining Needs for Technical Assistance for price survey Receiving National Accounts Forms and Guidelines for the ICP Compilation of Preliminary Estimate for GDP and Major GDP Aggregates for the Latest Year After 2005 (possibly 2009) Determining Needs for Technical Assistance on National Accounts IX updates: - Data release of 2009 updates The 2009 ICP-Africa preliminary results are planned to be released in December

14 Asia Pacific 14

15 Regional Report on the Readiness of the 2011 ICP Asia Pacific The ICP in Asia and the Pacific under the Asian Development Bank has undertaken several activities in preparation for the 2011 ICP, starting as early as 2008 upon the conclusion of the 2005 ICP round. This report provides information on what has been done in the Asia Pacific region in preparation for the 2011 ICP, following the guide questions provided by the ICP Global Office. I. Coordination aspects 1. The Development Indicators and Policy Research Division (ERDI), of the Asian Development Bank, is the Regional Coordinating Agency (RCA) responsible for the implementation of the 2011 ICP for Asia and the Pacific. The RCA Asia Pacific team consists of the Lead Professional for Statistics and Statistical Capacity Building, the designated Regional Coordinator for Asia and the Pacific; an Associate Economics and Statistics Analyst; international and national consultants; and the Assistant Chief Economist who provides the overall guidance. The RCA also works in close collaboration with the Global Office in the implementation of the 2011 ICP. 2. Two important meetings have been convened to improve coordination in the region: the first Regional Advisory Board Meeting; and the Meeting of Heads of National Implementing Agencies (NIAs). The RAB Meeting was held on 20 May 2010, discussed the 2011 ICP at the global and regional levels, Framework of Partnership, and institutional arrangements. Board composition is as follows: Chief Economist, ADB Australian Statistician, Australian Bureau of Statistics Director, Statistics Division, UN ESCAP Director, UN SIAP Director General, National Institute of Statistics, Cambodia Director General, International Statistical Information Center, National Bureau of Statistics, PRC Commissioner, Census and Statistics Department, Hong Kong, China Chief Statistician, Central Statistics Organization, India Chief Statistician, Badan Pusat Statistik, Indonesia Chief Statistician, Department of Statistics, Malaysia Administrator, National Statistics Office, Philippines Director, Bureau of Trade and Economic Indices, Thailand 15

16 Ex-officio Members: ICP Global Coordinator, World Bank Assistant Chief Economist, ERDI/ERD, ADB Member Secretary: Regional Coordinator, ICP Asia Pacific, ADB 3. The Administrator, National Statistics Office, Philippines was elected as chair with a term of one year. All Board members were present with the exception of the members from India and Malaysia. 4. The Meeting of NIA Heads held on May 2010 was vital in forging a close working relationship with the national statistical offices, and eliciting their continued support for ICP activities. The meeting also familiarized NIA heads on the R-RDTA objectives; work program; 2011 ICP governance structure including the Framework of Partnership; data and related statistical requirements; and a background on the proposed methodology. 5. To foster better coordination, participating economies were requested to designate their national coordinators (preferably from the price division) and deputy national coordinators (from the national accounts division). They are the focal points of communication between the ADB and the NIA. If multiple agencies are involved, it is the duty of the National Coordinator to coordinate with the various bodies. II. Economy participation 6. Twenty two ADB regional members (Bangladesh; Bhutan; Brunei Darussalam; Cambodia; People s Republic of China; Fiji Islands; Hong Kong, China; India; Indonesia; Lao PDR; Malaysia; Maldives; Mongolia; Myanmar; Nepal; Pakistan; Philippines; Singapore; Sri Lanka; Taipei,China; Thailand; and Viet Nam) have officially confirmed their participation in the 2011 ICP round; with the submission of their signed Letter of No Objection. Macao, China, a non-adb member, is participating at its own expense. III. Funding 7. The ICP is classified as a Regional Research and Development Technical Assistance project. Funding is provided on a project basis and may cut across years. The procedure to obtain internal funding for R-RDTAs commences with a concept paper explaining the rationale for the project and estimated cost requirements. On approval by management, funds from the Technical Assistance Special Funds are provided, if available. To date only US $1.5 million has been approved by ADB management for the 2011 ICP. Cognizant of the fact that the current funds will be insufficient for the entire program, an additional $1.7 million need to be raised to undertake all the required activities for the 2011 ICP. 16

17 IV. Regional activities/meetings 8. The work program and schedule of activities as submitted to the Global Office in April 2010 remains unchanged. Aside from the first meetings of the Regional Advisory Board and the Heads of National Implementing Agencies, ICP Asia Pacific has conducted two regional meetings as of June a. Regional meetings convened to date (i) (ii) Inception Workshop (14-15 June 2010) Price statisticians and national accounts experts from 22 participating economies attended the workshop which ensured that economies are involved in the planning process. Aside from formally introducing the program and explaining the processes and work involved, the meeting agenda also included: technical requirements covering price collection, derivation of weights from the national accounts, sampling designs for ICP price surveys, product list development, and other activities related to PPP computation. First Meeting of National Coordinators (16-22 June 2010) The meeting on Product List Development and Preliminary Sampling Design with the national coordinators was held to discuss the global product list; develop the Asia Pacific product lists; and conduct the training on formulation of sampling designs for ICP price surveys. A draft regional list was drawn up during the meeting and a draft product catalogue has been prepared. Evaluation of the availability and importance of products in the GCL was also discussed. Economies have been requested to submit their ICP price survey sampling designs prior to the next meeting in September. b. Upcoming meetings (iii) (iv) Workshop on the 2011 ICP Survey Framework and Methodology (27 Sept-1 Oct 2010) This will be a follow meeting/workshop on sampling and survey framework for the 2011 ICP. The primary aim is to evaluate the proposed sampling designs by economies. Detailed discussion on sample size determination, geographic coverage, outlets selection, frequency of price collection together with number of products and number of quotations per product would be deliberated. Aside from this pricing concepts and the software suite would also be discussed. The Second Regional Advisory Board meeting has been scheduled for mid- November Invitation letters to RAB members would be issued once the venue has been confirmed. 17

18 V. Progress with product list 9. The Preliminary Asia Pacific Product (AP) List and the Global Core List (GCL) were discussed at the First Meeting of National Coordinators (16-22 June). The AP List will be finalized at the workshop on 27 September 1 October The starting point for the AP List was the 2005 ICP regional list and updated with the 2009 PPP Update list and new entrants in the market, particularly on household durable items. Table 1 shows the profile of the Asia Pacific Product List. A number of items in the GCL matched with the regional list and where SPDs reflected minimal differences between the GCL and the AP Lists, the GCL SPDs were adopted. Table 1: Preliminary Asia and the Pacific Regional Household Product List Categories No. of Products Food & non-alcoholic beverages 244 Alcoholic beverages, tobacco & narcotics 24 Clothing & footwear 80 Housing, water, electricity, gas & other fuels 14 Furnishings, household equipment & routine maintenance of the house 94 Health 79 Transport 48 Communication 14 Recreation & culture 67 Education 6 Restaurants & hotels 21 Miscellaneous goods & services 49 Total The GCL Version 4 provided by the Global Office in May was also evaluated during the first meeting of national coordinators with particular focus on availability in the country and in the region. The matrix of availability has been submitted to the Global Office in August. The GCL Version 5.2 from the Global Office (received in early September) has an additional 31 products. ADB has done a desk evaluation of its availability and has submitted comments to the Global Office. The next round of evaluation would be for countries to identify product importance. Table 2 shows the Global Core List and its availability in the Asia Pacific region. 18

19 Table 2: Global Core and Asia Pacific Lists Categories Global Core List V5 No. of Products Available in Asia Pacific Overlap in AP regional list Food & non-alcoholic beverages Alcoholic beverages, tobacco & narcotics Clothing & footwear Housing, water, electricity, gas & other fuels Furnishings, household equipment & routine maintenance of the house Health Transport Communication Recreation & culture Education 0 Restaurants & hotels Miscellaneous goods & services Total In discussing the AP List and the GCL for the 2011 ICP round, the participating economies were grouped into four sub-regions: Mekong (Cambodia; Lao PDR; Myanmar; Thailand; and Viet Nam); Southeast/East Asia (People s Republic of China; Fiji Islands; Indonesia; Malaysia; Mongolia; and Philippines); South Asia (Bangladesh; Bhutan; India; Maldives; Nepal; Pakistan; and Sri Lanka); and, High Income (Brunei Darussalam; Hong Kong, China; Macao, China; Singapore; and Taipei,China) to ensure sub-regional representation in the lists. 19

20 VI. Progress with national accounts 12. ADB is implementing the Regional Technical Assistance on Adopting the Supply and Use Framework. Work on the Supply and Use Tables (SUT) commenced in end 2008 and is expected to be completed in mid Economies that participated in the 2005 ICP were invited to participate in this technical assistance with eighteen economies signing up: Bangladesh; Bhutan; Brunei Darussalam; Cambodia; PRC; Fiji; Hong Kong, China; India; Indonesia; Malaysia; Maldives; Mongolia; Nepal; Singapore; Sri Lanka; Taipei,China; Thailand; Viet Nam. SUT compilation is based on SNA 93 and will have a standard 51 by 32 matrix across all economies. The SUT is being implemented in phases phase one focussed on assessing data availability and compiling the gross output and intermediate consumption matrix; second phase concentrated on the final demand components and imports; valuation adjustments (taxes and trade and transport margins); and balancing is done in the third and final phase. All participating economies are in the final phase of compiling their SUTs. 13. Aside from the SUT, ADB is also implementing the 2009 PPP updating. The national accounts requirement for the update is similar to the 2005 ICP. GDP weights at the 155 BH level are currently being compiled by 21 participating economies (Bangladesh; Bhutan; Brunei Darussalam; Cambodia; PRC; Fiji; Hong Kong, China; India; Indonesia; Lao PDR; Malaysia; Maldives; Mongolia; Nepal; Pakistan; Philippines; Singapore; Sri Lanka; Taipei,China; Thailand; Viet Nam). Based on GDP data received to date, 18 of the 21 economies have provided 2009 GDP expenditures disaggregated into the required 155 basic headings. The three other economies provided either 2007 or 2008 GDP data. Quite a number of them have used the same structures as in 2005 ICP to come up with the 155 BH values. Validation checks on the consistency of data with published information (e.g. CPI, compensation); with the 2005 estimates; and structural analysis are being done prior to finalization and estimation of the 2009 PPPs for Asia and the Pacific. VII. Operations Manuals 14. ADB has prepared the first draft of the Household Product Catalogue; Field Officers Manual for Price Collectors; and Practical Guidelines for Conducting ICP Price Surveys. These are necessary documents to ensure ICP pricing principles are diligently followed in conducting price surveys. All these documents are currently in English and economies will be advised to do their respective translations. VIII ICP Asia Pacific Software Suite 15. ADB is in the process of developing the 2011 ICP Asia Pacific Software Suite (ICP APSS) that will be used for managing economy and regional data needed for PPP calculation. It basically carries the same principle as the Price Collection Tool software used for the 2009 PPP Update for Asia and the Pacific but migrated from MS Excel platform to Visual Basic to accommodate management and processing of the 2011 ICP data. The system operates at two 20

21 levels country and regional. Priority is given to the development of the country module for household products which is now in its final stages and will be introduced in the upcoming Workshop on the 2011 ICP Survey Framework and Methodology (27 September to 1 October 2010). The country module includes: Generation of Survey Questionnaires; Outlet Product Mapping; Data Entry and Basic Price Analysis Tool. A User s Manual is also being drafted to serve as the basic reference for the ICP APSS. Once finalized, the software will have the ability to export and import data in Excel, Access, CSV and XML formats to make it compatible with whatever existing database file the country has. IX. Economy readiness for 2011 activities 16. Preparation for the 2011 ICP round in the Asia and Pacific region began as early as 2008 when ADB undertook two regional technical assistance projects upon the conclusion of the 2005 ICP round in 2007: Updating the 2005 PPP estimates to 2009; and Implementing the Supply and Use Framework towards 1993 System of National Accounts compliance (see section F). Aside from developing a methodology for updating PPP estimates during non-benchmark years, the PPP updating project also aimed to continue the momentum built in PPP work developed during the 2005 round so that statistical capacity acquired would be further developed in the participating economies. To increase awareness and appreciation on the uses of ICP at the national level, several in-country trainings on ICP methods and sub-national PPP estimation using consumer price index price and expenditure data were conducted under the project. 17. The 2011 ICP for Asia and the Pacific begins with a solid foundation built on the success of the 2005 round. The economies in the region also have the added advantage of having participated in the two projects in between the 2005 and 2011 ICP rounds which make the Asia Pacific region better prepared for the 2011 ICP. 18. ADB has requested national coordinators to fill out the Check List on Readiness for 2011 ICP questionnaire prepared by the Global Office. This would be submitted to the Global Office once all economies have submitted the accomplished questionnaire. X. The 2009 PPP Updates 19. Preliminary 2009 PPP updates for Asia and the Pacific were discussed in a workshop held on 30 August 2 September Latest GDP figures are being validated together with other required data inputs. Final results will be available in early 2011 and will be presented to the heads of national implementing agencies involved in the 2009 PPP Update, prior to the publication of the 2009 PPP report. 21

22 CIS 22

23 Report on readiness of the CIS region to the global round of international comparison of GDP for 2011 year 1. Decision on participation of the CIS countries in the next round of global international comparison of GDP for 2011 has been adopted at the 42 session of the Council of Heads of Statistical Services of the CIS countries which was held in Moscow on November of 2009 year. It was decided at this session that the CIS STAT would carry out the function of Regional Coordinating Agency while the Rosstat will act as organization-partner of CIS STAT. At the 43 session of the Council of Heads of Statistical Services of the CIS countries which was held in Minsk on 24 of November; the Council reviewed the general course of work on ICP in the CIS region in 2010 and recommended to CIS-STAT and Rosstat to secure implementation of all works specified in the schedule of work adopted for 2010 year. The Council asked CIS-STAT to prepare by the 20 November the recommendations for CIS countries on compilation of GDP in national currencies in accordance with the SNA The Council recommended to statistical offices to carry out experimental breakdown of GDP for 2008 by basic headings and send these data to CIS-STAT in the first quarter of 2011 for analysis and generalization of possible problems. This material will be sent to Global Office for information. In accordance with recommendations of the World Bank special working group on ICP matters was set up in the CIS STAT; the group consists of 5 persons and headed by the Deputy Chairman of the Committee - Y. Ivanov. The group in interaction with the Division on International Comparisons Programs of GDP of Rosstat coordinates activities of statistical offices of the CIS countries on this matter, monitor implementation of plans, prepares drafts of the methodological documents, organizes meetings of experts, maintains contacts with the Global Office of the World Bank. 2. The following CIS countries confirmed their participation in the comparison: Armenia, Azerbaijan, Belarus, Kazakhstan, Kyrgyzstan Moldova, Russia, Tajikistan, and Uzbekistan. Memorandums of understanding between the CIS STAT and statistical agencies of the above CIS countries were agreed upon and signed. 3. The World Bank provided to CIS STAT US dollars as a grant for financing ICP activities in Out of this amount about US dollars are earmarked as sub-grants to the CIS countries US dollars will be spent on financing meetings with the experts of CIS countries to discuss various topics of the ICP. CIS STAT, Rosstat and other statistical services of the CIS countries finance certain ICP related activities from their regular budgets. 23

24 4. During 2010 a considerable preparatory work has been carried out in accordance with the schedule attached in the Annex. The seminar on ICP matters for experts of CIS countries was held in Minsk on August of this year. The seminar was organized jointly by the CIS STAT and National Statistical Committee of the Republic Belarus. The seminar was attended by the experts of all CIS countries which confirmed their participation in the comparison, representative of the World Bank (M. Belkindas) and a member of Technical expert group of ICP (S. Sergeev). A wide range of ICP methodological and organizational issues was discussed at some length. Some lessons of comparison for 2005 year were also briefly reviewed. In this connection it was noted that it is essential to pay more attention to compilation of reliable and comparable data on GDP in national currencies as a starting point for obtaining data in PPPs terms. The participants also exchanged views on such topics as coverage of unobserved economy, valuation of dwelling services produces by the owners of dwellings for own consumption, FISIM, estimation of government final consumption expenditure. There was general opinion on importance of improving methods of comparison of non-market services. In the IV quarter of 2010 and the first quarter of 2011 the following meetings of experts on ICP matters are planned to be convened: - On reconciliation of lists of consumer commodities-representatives (8-11 November 2010, Astana); - On preparation of GDP data in national currencies in accordance with the SNA 1993 (30 November-2 December 2010, Moscow); 2011). - On reconciliation of list of investment commodities-representatives (first quarter of 5. A work is in progress on preparation of regional lists of consumer and investment commodities representatives for discussion at the meetings of experts mentioned above. The key consumer items were identified in each CIS country and generalized information on this matter was sent to the global office of the ICP. 6. A work is under way on classification of GDP by basic headings; it includes among other things detailed description of basic headings and recommendations on possible sources of data. 7. The work is under way on preparation of a number of methodological documents dealing with various topics of comparison: - On selection of consumer commodities-representatives (scope of items, specification of items, key items etc.) - On selection of investment commodities representatives (machinery and equipment) - On comparison of non-market services and dwelling rent - On comparison of construction objects. 24

25 A work has been initiated on preparation of electronic forms to be used for submitting data to CIS STAT: - On consumer goods - On investment goods (machinery and equipment) - On cost of construction objects - On breakdown of GDP by basic headings - On compensation of employees - On dwelling stocks. 8. The text of this item represents a summary of CIS countries responses to the Check List on Readiness for 2011 ICP recommended by the Global Office of the ICP. All CIS countries are prepared to launch the survey of prices for ICP purposes in December 2010 and to begin the work on national accounts matters in January The working groups on ICP have been set up; the staff of the working groups is trained to participate in implementation of the program of the comparison. National timetables are on the whole consistent with the timetable submitted by the CISSTAT to the Global Office of the World Bank. The CIS countries expect to receive from regional coordinator updated Questionnaires for collecting prices and methodological recommendations for selection of points of purchases which will be adapted for conditions in the region. All CIS countries will participate in the work on reconciliations of regional lists of consumer and investment commodities-representatives at the meetings of experts which are scheduled to be held in November and December of this year. In Rosstat which is a partner of the CIS STAT on comparison matters, the work on translation of the list of commodities-representatives is carried out; common items of CPI and ICP are identified; also identification of goods with specifications is carried out; the regional lists of commodities-representatives are being prepared taking into account specifications of goods contained in OECD-Eurostat lists. Requirements of CIS countries in technical assistance are determined; they will be financed largely from subgrants provided by CIS STAT from the World Bank grant. CIS countries expect receiving from the CIS STAT the questionnaires and recommendations on compilations of national accounts for the ICP purpose; these are being prepared now. 25

26 At the Meeting of the Heads of statistical services of the CIS countries was decided to carry out experimental breakdown of GDP by basic headings for 2008 and this was noted in the answers of the countries. Some countries: Kazakhstan, Kyrgyzstan, Uzbekistan and Ukraine identified their requirements in technical assistance with regard to national accounts. Kyrgyzstan defined specific directions for using funds namely on purchases of office equipment (computers, printers, Xeroxes, scanners). 26

27 Annex 1 Schedule of the works on international comparisons of GDP for in the framework of the Global round of ICP 2011 Stages of the works Period Executors 1. The seminar on ICP matters for experts of CIS countries in the meeting of Council of Heads of Statistical Services of the CIS countries 2. Elaboration of classification of GDP expenditures in accordance with the ICP and the description of the categories of classification 3. Elaboration of methodological documents dealing with basic topics of GDP comparison in CIS region: - On selection of consumer commodities-representatives (coverage of items, representativeness of goods, specification of items, prices monitoring, the number of individual observations of prices, calculation of average prices, key items etc.) - On selection of investment commodities-representatives (the part of machinery and equipment) - On comparison of non-market services and rent - On comparison of construction aggregate of gross fixed capital formation 4. Participation in the development of the list of key commoditiesrepresentatives 5. Preparation of regional the lists of consumer and investment commodities-representatives including key commoditiesrepresentatives 6. Sending to the countries participating in comparisons the lists of the consumer and investment commodities-representatives for review and preparation of proposals 7. The meeting of specialists-experts of the CIS countries on reconciliation of the lists of consumer commodities-representatives 8. The meeting of specialists-experts of the CIS countries on the problems of GDP disaggregation in national currencies in accordance with the classification of GDP expenditures August quarters quarters quarters quarters quarters November November - 2 December 2010 CIS STAT, National statistical Committee of the Republic Belarus CIS STAT, Rosstat CIS STAT, Rosstat CIS STAT, Rosstat CIS STAT, Rosstat CIS STAT, Statistical Services of the CIS countries CIS STAT, Statistical Services of the CIS countries CIS STAT, Statistical Services of 27

28 Stages of the works Period Executors the CIS countries 9. Elaboration of electronic forms of data submission and sending them to the CIS countries: - on consumer goods - on investment goods in machinery and equipment - on cost of construction objects - on breakdown of GDP by basic headings - on compensation of employees - on dwelling stocks 4 quarter quarter 2011 CIS STAT, Rosstat 10. The meeting of specialists-experts of the CIS countries on reconciliation of the list of investment commodities-representatives 11. Experimental breakdown of GDP for basic headings according to the data for quarter 2011 CIS STAT, Statistical Services of the CIS countries 1 quarter 2011 CIS STAT, Statistical Services of the CIS countries 12. Monitoring the prices of consumer commodities-representatives and investment commodities-representatives on investment goods in machinery and equipment 13. Preparation of metadata for the observations of commoditiesrepresentatives (coverage list, the number of representative products, the number of individual observations of the prices, the frequency of observations) During 2011 During 2011 Statistical Services of the CIS countries Statistical Services of the CIS countries 28

29 Eurostat-OECD PPP 29

30 Progress report on Eurostat-OECD PPP program for ICP EB meeting October 2010 MoU between Eurostat, OECD and WB was signed in April Price collection for the ICP global core list of products for household goods and services has started even before the finalisation of the list. The spring 2010 survey on "House and garden" products (e.g. household durables, consumer electronics) was the first to include explicitly ICP global core list items. About 50 of the total list of nearly 500 products were marked as ICP items, 10 of which were added specifically for ICP purposes. For countries coordinated by Eurostat, the data are currently in validation, but it can already be said that the 50 ICP items have been priced very well by countries: most items have been priced by nearly all countries. For countries coordinated by OECD, the timetable is slightly different and data will be transmitted at the end of the year. On 1 October the price collection for the second 2010 survey on "Transportation, restaurants and hotels" started. Again, about 50 ICP products are marked in the list (which contains in total about 350 products). Again, about 10 items were added specifically for ICP purposes. The data will be transmitted by 15 December for countries coordinated by Eurostat and beginning of next year by countries coordinated by OECD. Other surveys are running their normal course. For equipment goods, we anticipate to include extra ICP items in the 2011 survey. For construction, ICP methodology is not yet defined, so no special preparations could be undertaken. Eurostat will publish revised 2007, 2008 and 2009 PPPs in December 2010, following the regular production calendar. Around the same time, OECD will publish the results of the 2008 benchmark. 30

31 Latin America and the Caribbean 31

32 Regional Report on the Readiness for the 2011 Round in Latin America and the Caribbean I. Coordination aspects I.a. Regional coordination team The Executive Secretary of the UN Economic Commission for Latin America and the Caribbean (UN-ECLAC) accepted the role of Regional Coordinator for Latin America and the Caribbean of the 2011 Round of the International Comparison Programme (ICP). In contrast to the 2005 Round, in which only 10 South American countries participated, in the 2011 Round also the Central American and Caribbean countries are expected to participate. In the 2005 Round UN-ECLAC, together with Statistics Canada, coordinated ICP activities in the 10 South American countries that participated. To this end, a team of technical staff and experts of UN-ECLAC and Statistics Canada worked during two and a half years in the activities of the ICP. The team in UN-ECLAC consisted of three full-time professional staff members, as well as one half-time professional staff member and an assistant for logistic support (travel arrangements, meetings, communications, etc.). On the other hand, the team at Statistics Canada consisted of five full-time professional staff members. The requirements of the 2011 Round activities are more demanding than in the 2005 Round, not only due to the larger number of participating countries (which will cover the whole Latin America and Caribbean region), but also given the reduced availability of external support by national and international statistical organizations. At this stage, therefore, the two main challenges faced by UN-ECLAC are, first, to secure enough funds to conduct technical meetings and expert group meetings both in price and national accounts statistics, and secondly, consolidate the internal team that will carry out ICP coordination and implementation activities in the region. The structure of the coordination team at ECLAC has initially been constituted by three Staff Members based in Santiago, including: The regional coordinator is the officer in charge of the National Accounts and External Sector Statistics Unit (P4) One staff member (P3) is responsible for national accounts activities One staff member (G7) is responsible for price statistics activities. In addition, there the ICP coordination team has a focal point for the Caribbean at UN-ECLAC sub-regional office in Port of Spain. 32

33 Also, a consultant has been hired with World Bank funds to investigate the current state of price and national accounts statistics in the Caribbean countries, as well as to evaluate their statistical capacities, strengths, and weaknesses vis-à-vis ICP requirements. The consultant has held interviews in with officials of national statistical offices and international organizations working in price and national accounts statistics in Barbados, Trinidad and Tobago, Guyana, Jamaica, the Bahamas, and Belize. She will also visit St. Lucia before the end of the year, and is expected to attend the first technical meetings on National Accounts and Price Statistics for the Caribbean subregion, which will take place in the Bahamas from 29 November to 1 December. The consolidation process of the regional coordination teams aims at incorporating, as soon as possible, additional staff resources according to the structure depicted below. I.b Advisory board The governance structure of the ICP in Latin America and the Caribbean will be based on a dual scheme, with an Advisory Board for Latin America constituted within the Statistical Conference of the Americas (SCA), and an Advisory Board for the Caribbean, a role that will be assumed by the Standing Committee of Caribbean Statisticians (SCCS). The Executive Board of the SCA, during its 9 th Session (April 2010) appointed the following countries as members of the advisory committee for Latin America: Brazil, Colombia, Cuba, Dominican Republic, Mexico and Uruguay II. Country participation In view of the need to advance in the initial activities of the ICP according to the timeframe established the Global Office and specifically taking into account the requirement to conduct a pilot price survey and to initiate the compilation of detailed national accounts statistics already in the present year simultaneously with other regions of the World UN-ECLAC has officially invited the countries of the region to participate in the 2011 Round of the ICP and has organized launching meetings in Central America, South America, and the Caribbean. The following tables summarize the participation status of 20 Latin American countries and 21 Caribbean countries. 33

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