## tnmea2023009 ## Source details **Canonical URL:** [tnmea2023009](https://www.imf.org/-/media/files/publications/tnm/2023/english/tnmea2023009.pdf) ## Other formats - [Markdown version](/-/media/files/publications/tnm/2023/english/tnmea2023009.pdf.md) - [Structured JSON version](/-/media/files/publications/tnm/2023/english/tnmea2023009.pdf.json) --- ### Executive Summary — Overview - An IMF interdepartmental team—the Statistics Department, the Institute for Capacity Development, and the African Department—conducted an evaluation of external sector statistics (ESS) capacity development (CD) in Cabo Verde, Guinea, Madagascar, and Seychelles. - Evaluation period covered improvements in balance of payments and international investment position (IIP) data between fiscal year 2015 and fiscal year 2022. - The evaluation used an assessment approach proposed by the Organisation of Economic Co-operation and Development (OECD) and was informed by country-level results frameworks for each technical assistance (TA). - The evaluation reviewed 10 CD activities delivered between fiscal year 2015 and fiscal year 2022 and incorporated prior CD delivery and complementary interventions for context. - Methodology elements included desk review of project documents and IMF surveillance documents, customized questionnaires, interviews with IMF headquarters staff, data users, authorities, and experts, and in-country and virtual missions. ### Key Findings — Relevance - CD on ESS was assessed as highly relevant for the needs of Cabo Verde, Guinea, Madagascar, and Seychelles. - CD helped capture significant economic activity and was considered essential by IMF country teams for informing IMF surveillance and supporting program objectives. - Expert surveys and interviews indicate that care was given to authorities’ priorities during CD design. ### Key Findings — Coherence and Delivery Quality - CD delivery was broadly coherent with activities of internal and external stakeholders. - Delivery was timely, high quality, and well executed. - Authorities in all four countries expressed a high level of satisfaction with: - Quality of expertise, - Overall communications, and - TA management. - TA recommendations were agreed with the authorities before and during missions and reflected country needs. ### Key Findings — Efficiency and Implementation - CD implementation included effective hands-on training and contributed to staff training on ESS concepts and definitions. - Some country-specific milestones posed implementation challenges. - Certain central bank authorities considered that the milestone “the number of staffs trained to compile and disseminate ESS is adequate” has not been fully achieved. ### Key Findings — Effectiveness, Impact, and Accuracy - CD was overall effective in improving the quality of ESS data compilation and dissemination. - CD enabled regular data provision, facilitating policy analysis and monitoring. - Challenges to data accuracy remain substantial, especially in countries with weak governance, political instability, and socioeconomic challenges. - Concerns persist about the effect of unrecorded cross-border transactions on balance of payments statistics across all four economies. ### Key Findings — Sustainability - All four countries have made strides to sustain the benefits of CD, despite continuing capacity challenges. - Capacity issues remain a long-term concern and could affect sustainability if not addressed. ### Evaluation Approach and Framework Notes - Performance was assessed across six OECD Development Assistance Committee (DAC) criteria: relevance, effectiveness, efficiency, impact, coherence, and sustainability. - The evaluation followed the IMF’s updated Common Evaluation Framework and guidelines. On July 1, 2016, IMF management approved the “New Common Evaluation Framework for IMF Capacity Development.” In 2020, the Common Evaluation Framework was updated with guidelines. ### Recommendations (Executive Summary) - Consider expanding Statistics Department ESS experts in Africa Regional Technical Assistance Centers, particularly in centers that serve a higher number of countries with limited institutional frameworks. - Include use of mirror statistics in ESS project design. - Continue to closely engage resident representatives and leverage integration of CD with surveillance and lending for enhanced CD results. - Continue to plan for longer CD delivery and implementation timelines with attention to absorption capacity. - Make outreach and engagement internally within central bank departments and externally with other relevant agencies part of CD design. - Make use of hybrid delivery to ensure continuity of CD support and results traction. - Make use of online courses—possibly in a blended delivery format and in multiple languages—including Balance of Payments and International Investment Position Statistics (available in English, French, and Spanish) and External Debt Statistics (available in English). ### Conclusions and Lessons Learned — Capacity Development Background and Objectives - CD activities aimed to improve the compilation and dissemination of macroeconomic statistics by: - using the latest manuals and guides (the sixth edition of the Balance of Payments and International Investment Position Manual, 2013 External Debt Statistics: Guide for Compilers and Users [BPM6]); - creating new data sets (for example, IIP statistics and EDS); - ensuring the adequacy of source data; - following sound statistical techniques; - enhancing data management practices (periodicity, timeliness, consistency); - securing internal consistency in data sets; and - developing staff capacity through training, especially for developing source data, compilation methods, and dissemination. - CD targets included migration to BPM6, improving periodicity and timeliness (from annual to quarterly), setting up frameworks for IIP integrated with balance of payments, enhancing surveys and administrative sources, and improving techniques for filling data gaps. - CD supported adherence to data dissemination standards: SDDS subscription in Seychelles and progress toward the Enhanced General Data Dissemination System in the other three economies. - CD promoted internal and external collaboration (interagency collaboration, participation in IMF’s Coordinated Direct Investment Survey, World Bank’s quarterly EDS database). - Delivery between fiscal year 2015 and fiscal year 2022: - 10 TA missions in the evaluated countries; - 13 weeks of in-person missions; - 5.6 weeks of missions delivered remotely. - Between July 2020 and December 2021, four missions were undertaken remotely due to the COVID-19 pandemic. ### Performance Assessment (OECD-DAC Criteria) — Highlights - Relevance - ESS CD was highly relevant and linked to IMF surveillance, debt sustainability, balance sheet analysis, and program objectives; relevance increased during the COVID-19 pandemic. - Suggested relevance improvements: end-of-mission meetings with governors and closer involvement of IMF resident representatives. - Coherence - CD broadly coherent with internal reforms and IMF lending/surveillance; coordination with African Department country teams and resident representatives. - Synergies with development partners where present; limited duplication. - Efficiency - CD delivery assessed as timely and efficient, with high quality of experts and TA management. - Implementation lags attributed to high staff turnover, competing priorities, COVID-19 work environment stress, insufficient implementation resources, and overambitious timeframes. - Six CD modalities currently offered: (1) duty station-based work, (2) field-based work, (3) resident advisor, (4) interactive learning and workshops, (5) online learning, and (6) peer-to-peer engagement. - Country modality preferences and observations summarized by country. - Effectiveness - CD was highly effective in improving ESS compilation and dissemination, increasing coverage, frequency, and timeliness, and developing new data sets (IIP, quarterly EDS, Reserves Data Template in Seychelles). - Know-how transfer was effective but constrained by staff turnover and limited staff availability. - Persistent accuracy challenges from informal transactions and incomplete reporting (mining, large infrastructure projects, informal gold/diamond exports, migrant remittances). - Impact - CD enabled regular data provision to the African Department, facilitating policy analysis and monitoring. - Enhanced ESS used for monetary committee reporting and decision making (example: Seychelles monetary policy meetings). - CD contributed to more reliable data publication in International Financial Statistics and Balance of Payments Statistics Yearbook. - Example effect: revised travel services estimates in Seychelles led to a significant projected decline of the current account deficit. - Sustainability - Countries adopted policies and knowledge transfer mechanisms to sustain TA benefits (examples: Madagascar reliance on TA reports; Guinea’s Technical Committee for the Harmonization of Balance of Payments). - Sustainability risks: difficulty retaining capable staff, insufficient funding, high staff turnover, inadequate staffing levels to handle growing cross-border transactions, and coordination challenges among data providers. - Digitalization (computers, software, networks, internet) identified as a TA priority (Cabo Verde). - Conclusion: continued CD on ESS is still needed in all four countries to ensure continuity. ### Main CD-Supported Achievements by Country (selected highlights) - Cabo Verde - Migration to BPM6 and quarterly reporting in early 2016 of the IIP (previously annually). - Participation in IMF Coordinated Direct Investment Survey, data collection on offshore banks, estimating government external debt from Ministry of Finance position data, and revision of banks’ cross-border data. - Guinea - Dissemination of direct investment statistics and participation in IMF Coordinated Direct Investment Survey. - Improved IIP compilation and ESS dissemination timeliness; adjusted coefficient for informal migrant remittances; improved coverage of precious metals exports. - Madagascar - Quarterly balance of payments and new quarterly IIP aligned with BPM6 (enabled by revision of Central Bank legal mandate). - Integrated IIP framework with balance of payments and improved ESS data collection (enhanced surveys, administrative sources, techniques to fill data gaps). - Seychelles - SDDS subscription: quarterly balance of payments, IIP, EDS, monthly international reserves and foreign currency liquidity data template aligned with BPM6. - Improved coverage of offshore entities and travel services; participation in IMF Special Purpose Entities Survey for 2020. ### Overall Assessment (Summary) - The evaluation team confirmed that ESS CD achieved its goal to a large extent and helped improve balance of payments and IIP compilation and dissemination across the four countries. - CD was highly relevant, broadly coherent with IMF programs and donor activities, timely, high quality, and overall effective. - Modalities ranked by authorities in order of effectiveness: (1) short-term TA visits, (2) peer-to-peer learning, (3) training, and (4) remote TA. - Persistent challenges: staff retention, accuracy issues (informal and unrecorded transactions), timeliness in data dissemination (Cabo Verde and Madagascar), and sustainability risks requiring sustained follow-up. ### Lessons Learned and Steps for Productive Capacity Development - Good practices and additional ones were identified; a suggested checklist for CD project managers was developed to improve CD design, delivery, and follow-up. - Key implementation lessons: - Early and structured engagement with country authorities and resident representatives enhances ownership and relevance. - Tailoring timelines and expectations to country absorption capacity and governance context improves implementation prospects. - Combining periodic in-person intensive work with virtual check-ins supports continuity and follow-up. - Greater attention to follow-up activities is necessary in cases with weak governance or institutional capacity to ensure incremental, achievable milestones are met. ### Recommendations for Consideration (extracted from evaluation findings) - Engage resident representatives and leverage integration of CD with surveillance and lending for enhanced CD results: - Include early engagement with resident representatives as part of discussions with the area department. - Every CD team should meet resident representatives and country teams in advance of missions to refine the brief. - Resident representatives’ offices could participate in opening and closing meetings with authorities’ management to help identify challenges, leverage surveillance, and facilitate management support. - Plan for longer CD delivery and implementation timelines with attention to absorption capacity in countries with weak governance, political instability, and socioeconomic challenges: - Set realistic result expectations commensurate with absorption capacity and starting level of capacity. - Consider medium- to long-term continuous CD engagement where intensive work is needed, subject to a country’s absorption capacity. - Use more frequent in-person CD activities followed by virtual check-ins to ensure continuity of support. ### tnmea2023009 — 1. Actively involve authorities in CD design, including discussion of objectives and milestones (Checklist and Operational Steps) - CD design: involvement and planning - 1. Actively involve authorities in CD design, including discussion of objectives and milestones. - 2. Involve the area department's leadership in defining CD objectives. - 3. Include resident representatives throughout CD work. - 4. Assess the authorities’ (compilers') capacity. - 5. Identify relevant and feasible outcomes and milestones in log frames. - 6. Liaise with other CD providers’ work and involvement to ensure complementarities and avoid duplication. - 7. Identify a suitable expert and staff to conduct the CD. - 8. Assess the interagency coordination (other than central banks) needed to achieved outcomes. - 9. Evaluate what worked and what did not in previous CD projects and activities. - 10. Agree on CD delivery modalities: a standalone TA activity or a sequence and blend of TA and training activities (could be delivered hybrid, virtual, in-person; for training, could also leverage Statistics Department’s online courses) to support CD objectives. - CD delivery: Ensure proper support for effective CD implementation - 11. Ensure commitment by compilers and senior staff to TA outcomes and high authorities’ motivation to improve statistics. - 12. Provide African Department support and resident representatives’ office participation in opening and closing meetings. - 13. Focus on limited and feasible relevant issues (step-by-step approach). - 14. Suggest priority actions and recommendations commensurate to available resources. - 15. Set up achievable incremental milestones. - 16. Promote sound interagency collaboration to expand data sources. - 17. Facilitate collaboration with other TA providers who can fund and/or carry out surveys. - 18. Deliver know-how transfer to compilers through hands-on training. - 19. Promote a suitable institutional setting to achieve the outcomes. - 20. Facilitate coordination with other agencies' (national statistics offices and national authorities) experts and compilers on cross-cutting issues related to informal economy (informal trade and informal migrant remittances). - 21. Facilitate coordination with the Ministry of Finance on public sector external debt issues. - 22. Use mirror statistics to identify and address data gaps. - CD follow-up: Brief check-ins between delivery activities to support achievement of outcomes - 23. Follow up periodically with authorities on priority actions. - 24. Engage the area department and resident representatives in supporting follow-up of priority actions. - 25. Provide virtual assistance with specific tasks. - 26. Maintain “momentum” achieved during the mission with follow-up virtual discussions. - 27. Ensure continuous authorities’ commitment (including suitable staff allocated to ESS compilation). - 28. Support interagency work to implement the recommendations. - 29. Adjust the recommended actions to address implementation hurdles. - 30. Assess the need for an in-person visit to support the progress made. - Additional operational recommendations (from authors' notes) - Expand the Statistics Departments’ ESS experts in Africa Regional Technical Assistance Centers, in particular for those that serve a larger number of countries with weak governance or limited institutional capacity. - Include the use of mirror statistics in ESS project design; the African Department used mirror statistics to close data gaps and check discrepancies. - Make outreach and engagement part of CD design internally among central bank departments and externally with other relevant agencies to improve coordination and spillover benefits. - Make use of a hybrid model to ensure continuity of CD support and results traction: short follow-up virtual meetings and missions on implementing action plans and recommendations. - Use online courses—possibly in a blended delivery format and in multiple languages—including Balance of Payments and International Investment Position Statistics (available in English, French, and Spanish) and External Debt Statistics (available in English). *Source: Internal Evaluation of External Sector Statistics Capacity Development in Select African Countries — conclusions and lessons learned.* ### Executive Summary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ### Executive Summary ### Overview - An IMF interdepartmental team—the Statistics Department, the Institute for Capacity Development, and the African Department—conducted an evaluation of external sector statistics (ESS) capacity development (CD) in Cabo Verde, Guinea, Madagascar, and Seychelles. - Evaluation period covered improvements in balance of payments and international investment position (IIP) data between fiscal year 2015 and fiscal year 2022. - The evaluation used an assessment approach proposed by the Organisation of Economic Co-operation and Development (OECD) and was informed by country-level results frameworks for each technical assistance (TA). - The evaluation reviewed 10 CD activities delivered between fiscal year 2015 and fiscal year 2022 and incorporated prior CD delivery and complementary interventions for context. - Methodology elements included desk review of project documents and IMF surveillance documents, customized questionnaires, interviews with IMF headquarters staff, data users, authorities, and experts, and in-country and virtual missions. ### Key Findings — Relevance - CD on ESS was assessed as highly relevant for the needs of Cabo Verde, Guinea, Madagascar, and Seychelles. - CD helped capture significant economic activity and was considered essential by IMF country teams for informing IMF surveillance and supporting program objectives. - Expert surveys and interviews indicate that care was given to authorities’ priorities during CD design. ### Key Findings — Coherence and Delivery Quality - CD delivery was broadly coherent with activities of internal and external stakeholders. - Delivery was timely, high quality, and well executed. - Authorities in all four countries expressed a high level of satisfaction with: - Quality of expertise, - Overall communications, and - TA management. - TA recommendations were agreed with the authorities before and during missions and reflected country needs. ### Key Findings — Efficiency and Implementation - CD implementation included effective hands-on training and contributed to staff training on ESS concepts and definitions. - Some country-specific milestones posed implementation challenges. - Certain central bank authorities considered that the milestone “the number of staffs trained to compile and disseminate ESS is adequate” has not been fully achieved. ### Key Findings — Effectiveness, Impact, and Accuracy - CD was overall effective in improving the quality of ESS data compilation and dissemination. - CD enabled regular data provision, facilitating policy analysis and monitoring. - Challenges to data accuracy remain substantial, especially in countries with weak governance, political instability, and socioeconomic challenges. - Concerns persist about the effect of unrecorded cross-border transactions on balance of payments statistics across all four economies. ### Key Findings — Sustainability - All four countries have made strides to sustain the benefits of CD, despite continuing capacity challenges. - Capacity issues remain a long-term concern and could affect sustainability if not addressed. ### Evaluation Approach and Framework Notes - Performance was assessed across six OECD Development Assistance Committee (DAC) criteria: relevance, effectiveness, efficiency, impact, coherence, and sustainability. - The evaluation followed the IMF’s updated Common Evaluation Framework and guidelines. On July 1, 2016, IMF management approved the “New Common Evaluation Framework for IMF Capacity Development.” In 2020, the Common Evaluation Framework was updated with guidelines. ### Recommendations - Consider expanding Statistics Department ESS experts in Africa Regional Technical Assistance Centers, particularly in centers that serve a higher number of countries with limited institutional frameworks. - Include use of mirror statistics in ESS project design. - Continue to closely engage resident representatives and leverage integration of CD with surveillance and lending for enhanced CD results. - Continue to plan for longer CD delivery and implementation timelines with attention to absorption capacity. - Make outreach and engagement internally within central bank departments and externally with other relevant agencies part of CD design. - Make use of hybrid delivery to ensure continuity of CD support and results traction. - Make use of online courses—possibly in a blended delivery format and in multiple languages—including Balance of Payments and International Investment Position Statistics (available in English, French, and Spanish) and External Debt Statistics (available in English). *Internal Evaluation of External Sector Statistics Capacity Development in Select African Countries — Executive Summary* ### conclusions and lessons learned and provides key recommendations for improving future CD provision. ### Conclusions and Lessons Learned and Key Recommendations for Improving Future CD Provision ### Capacity Development Background and Objectives - CD activities aimed to improve the compilation and dissemination of macroeconomic statistics by: - using the latest manuals and guides (the sixth edition of the Balance of Payments and International Investment Position Manual, 2013 External Debt Statistics: Guide for Compilers and Users [BPM6]); - creating new data sets (for example, IIP statistics and EDS); - ensuring the adequacy of source data; - following sound statistical techniques; - enhancing data management practices (periodicity, timeliness, consistency); - securing internal consistency in data sets; and - developing staff capacity through training, especially for developing source data, compilation methods, and dissemination. - CD targets included migration to BPM6, improving periodicity and timeliness (from annual to quarterly), setting up frameworks for IIP integrated with balance of payments, enhancing surveys and administrative sources, and improving techniques for filling data gaps. - CD supported adherence to data dissemination standards: SDDS subscription in Seychelles and progress toward the Enhanced General Data Dissemination System in the other three economies. - CD promoted internal and external collaboration (interagency collaboration, participation in IMF’s Coordinated Direct Investment Survey, World Bank’s quarterly EDS database). - Delivery between fiscal year 2015 and fiscal year 2022: - 10 TA missions in the evaluated countries; - 13 weeks of in-person missions; - 5.6 weeks of missions delivered remotely. - Between July 2020 and December 2021, four missions were undertaken remotely due to the COVID-19 pandemic. ### Performance Assessment (OECD-DAC Criteria) - Relevance - ESS CD was highly relevant: essential to capture significant economic activity in Cabo Verde, Guinea, Madagascar, and Seychelles. - Central bank management and staff demonstrated high commitment and ownership. - ESS CD linked to IMF surveillance, debt sustainability, balance sheet analysis, and program objectives; relevance increased during the COVID-19 pandemic. - Suggested relevance improvements: end-of-mission meetings with governors and closer involvement of IMF resident representatives. - Coherence - CD broadly coherent with internal reforms and IMF lending/surveillance; coordination with African Department country teams and resident representatives. - Synergies with development partners (African Development Bank, World Bank) where present; limited duplication. - Effective promotion of interagency collaboration (examples: Financial Service Authority in Seychelles, national statistics offices and ministries of finance). - Efficiency - CD delivery assessed as timely and efficient, with high quality of experts and TA management. - Implementation lags attributed to: high staff turnover, competing priorities, COVID-19 work environment stress, insufficient implementation resources, and overambitious timeframes. - Six CD modalities currently offered: (1) duty station-based work, (2) field-based work, (3) resident advisor, (4) interactive learning and workshops, (5) online learning, and (6) peer-to-peer engagement. - Country modality preferences and observations: - Cabo Verde: both remote and traditional viewed positively; face-to-face missions seen as more efficient for access to source data and interaction. - Guinea: videoconference TA far less effective than short-term visits; preference for short-term visits and peer-to-peer learning. - Madagascar: online learning helpful for basic concepts; training favored for cross-country sharing; remote TA better for refinements. - Seychelles: remote TA good for cost-effectiveness and hosting large groups but limited by time zone, internet, and human interaction; preference for traditional TA. - Effectiveness - CD was highly effective in improving ESS compilation and dissemination, increasing coverage, frequency, and timeliness, and developing new data sets (IIP, quarterly EDS, Reserves Data Template in Seychelles). - CD expanded statistical infrastructure and source data through improved surveys and administrative sources. - Most milestones were largely or fully achieved during the evaluation period; most recommendations implemented. - Know-how transfer was effective but constrained by staff turnover and limited staff availability; the milestone on “the number of staffs trained to compile and disseminate ESS to be adequate” not fully achieved in some central banks. - Persistent accuracy challenges, especially where informal transactions and incomplete reporting (mining, large infrastructure projects, informal gold/diamond exports, migrant remittances) affect balance of payments. - Impact - CD enabled regular data provision to the African Department, facilitating policy analysis and monitoring. - Enhanced ESS used for monetary committee reporting and decision making (example: Seychelles monetary policy meetings). - CD contributed to more reliable data publication in International Financial Statistics and Balance of Payments Statistics Yearbook. - Example effect: revised travel services estimates in Seychelles led to a significant projected decline of the current account deficit. - Concerns persist about unrecorded cross-border transactions affecting data usefulness in Guinea and Madagascar. - Sustainability - All four countries adopted policies and knowledge transfer mechanisms to sustain TA benefits (examples: Madagascar reliance on TA reports; Guinea’s Technical Committee for the Harmonization of Balance of Payments). - Sustainability risks: difficulty retaining capable staff, insufficient funding, high staff turnover, inadequate staffing levels to handle growing cross-border transactions, and coordination challenges among data providers. - Digitalization (computers, software, networks, internet) identified as a TA priority (Cabo Verde) to manage increasing data volumes and improve accuracy. - Conclusion: continued CD on ESS is still needed in all four countries to ensure continuity. ### Main CD-Supported Achievements by Country (selected highlights) - Cabo Verde - Migration to BPM6 and quarterly reporting in early 2016 of the IIP (previously annually). - Participation in IMF Coordinated Direct Investment Survey, data collection on offshore banks, estimating government external debt from Ministry of Finance position data, and revision of banks’ cross-border data. - Guinea - Dissemination of direct investment statistics and participation in IMF Coordinated Direct Investment Survey. - Improved IIP compilation and ESS dissemination timeliness; adjusted coefficient for informal migrant remittances; improved coverage of precious metals exports. - Madagascar - Quarterly balance of payments and new quarterly IIP aligned with BPM6 (enabled by revision of Central Bank legal mandate). - Integrated IIP framework with balance of payments and improved ESS data collection (enhanced surveys, administrative sources, techniques to fill data gaps). - Seychelles - SDDS subscription: quarterly balance of payments, IIP, EDS, monthly international reserves and foreign currency liquidity data template aligned with BPM6. - Improved coverage of offshore entities and travel services; participation in IMF Special Purpose Entities Survey for 2020. ### Overall Assessment (Summary) - The evaluation team confirmed that ESS CD achieved its goal to a large extent and helped improve balance of payments and IIP compilation and dissemination across the four countries. - CD was highly relevant, broadly coherent with IMF programs and donor activities, timely, high quality, and overall effective. - Modalities ranked by authorities in order of effectiveness: (1) short-term TA visits, (2) peer-to-peer learning, (3) training, and (4) remote TA. - Persistent challenges: staff retention, accuracy issues (informal and unrecorded transactions), timeliness in data dissemination (Cabo Verde and Madagascar), and sustainability risks requiring sustained follow-up. ### Lessons Learned and Steps for Productive Capacity Development - Good practices already in place and additional ones were identified; a suggested checklist for CD project managers was developed (see Table 4 in source) to improve CD design, delivery, and follow-up. - Key implementation lessons: - Early and structured engagement with country authorities and resident representatives enhances ownership and relevance. - Tailoring timelines and expectations to country absorption capacity and governance context improves implementation prospects. - Combining periodic in-person intensive work with virtual check-ins supports continuity and follow-up. - Greater attention to follow-up activities is necessary in cases with weak governance or institutional capacity to ensure incremental, achievable milestones are met. ### Recommendations for Consideration (extracted from evaluation findings) - Engage resident representatives and leverage integration of CD with surveillance and lending for enhanced CD results: - Include early engagement with resident representatives as part of discussions with the area department. - Every CD team should meet resident representatives and country teams in advance of missions to refine the brief. - Resident representatives’ offices could participate in opening and closing meetings with authorities’ management to help identify challenges, leverage surveillance, and facilitate management support. - Plan for longer CD delivery and implementation timelines with attention to absorption capacity in countries with weak governance, political instability, and socioeconomic challenges: - Set realistic result expectations commensurate with absorption capacity and starting level of capacity. - Consider medium- to long-term continuous CD engagement where intensive work is needed, subject to a country’s absorption capacity. - Use more frequent in-person CD activities followed by virtual check-ins to ensure continuity of support. *Source: Internal Evaluation of External Sector Statistics Capacity Development in Select African Countries — conclusions and lessons learned.* ### 1. Actively involve authorities in CD design, including discussion of objectives and milestones. ### tnmea2023009 - 1. Actively involve authorities in CD design, including discussion of objectives and milestones ### CD design: involvement and planning - 1. Actively involve authorities in CD design, including discussion of objectives and milestones. - 2. Involve the area department's leadership in defining CD objectives. - 3. Include resident representatives throughout CD work. - 4. Assess the authorities’ (compilers') capacity. - 5. Identify relevant and feasible outcomes and milestones in log frames. - 6. Liaise with other CD providers’ work and involvement to ensure complementarities and avoid duplication. - 7. Identify a suitable expert and staff to conduct the CD. - 8. Assess the interagency coordination (other than central banks) needed to achieved outcomes. - 9. Evaluate what worked and what did not in previous CD projects and activities. - 10. Agree on CD delivery modalities: a standalone TA activity or a sequence and blend of TA and training activities (could be delivered hybrid, virtual, in-person; for training, could also leverage Statistics Department’s online courses) to support CD objectives. ### CD delivery: Ensure proper support for effective CD implementation - 11. Ensure commitment by compilers and senior staff to TA outcomes and high authorities’ motivation to improve statistics. - 12. Provide African Department support and resident representatives’ office participation in opening and closing meetings. - 13. Focus on limited and feasible relevant issues (step-by-step approach). - 14. Suggest priority actions and recommendations commensurate to available resources. - 15. Set up achievable incremental milestones. - 16. Promote sound interagency collaboration to expand data sources. - 17. Facilitate collaboration with other TA providers who can fund and/or carry out surveys. - 18. Deliver know-how transfer to compilers through hands-on training. - 19. Promote a suitable institutional setting to achieve the outcomes. - 20. Facilitate coordination with other agencies' (national statistics offices and national authorities) experts and compilers on cross-cutting issues related to informal economy (informal trade and informal migrant remittances). - 21. Facilitate coordination with the Ministry of Finance on public sector external debt issues. - 22. Use mirror statistics to identify and address data gaps. ### CD follow-up: Brief check-ins between delivery activities to support achievement of outcomes - 23. Follow up periodically with authorities on priority actions. - 24. Engage the area department and resident representatives in supporting follow-up of priority actions. - 25. Provide virtual assistance with specific tasks. - 26. Maintain “momentum” achieved during the mission with follow-up virtual discussions. - 27. Ensure continuous authorities’ commitment (including suitable staff allocated to ESS compilation). - 28. Support interagency work to implement the recommendations. - 29. Adjust the recommended actions to address implementation hurdles. - 30. Assess the need for an in-person visit to support the progress made. ### Additional operational recommendations (from authors' notes) - Expand the Statistics Departments’ ESS experts in Africa Regional Technical Assistance Centers, in particular for those that serve a larger number of countries with weak governance or limited institutional capacity: This would help serve these countries with more frequent engagement in a programmatic fashion that also brings together regional experiences and helps harmonize approaches. A regional approach to address specific common issues, such as artisanal gold mining, informal cross-border trade, and informal migrant remittances, would be helpful. In addition, regional workshops would help bring peers together, allowing for knowledge exchange. - Include the use of mirror statistics in ESS project design: Intensive use of mirror data statistics may help identify data gaps better. The evaluation noted that the African Department used mirror statistics to close data gaps and check discrepancies. In some of the evaluated countries, mirror statistics can be the next stage of CD. - Make outreach and engagement part of CD design internally among central bank departments and externally with other relevant agencies: CD design and delivery should aim to more explicitly bring together stakeholders internally and externally. The evaluation identified significant dividends generated through CD experts’ bringing the central bank staff together with other agencies’ staff as well as close coordination within central bank departments. CD could be used as leverage to improve coordination among agencies within the country and to seek, as a result, spillover benefits to a greater circle of beneficiaries, even though the official beneficiary is the central bank. - Make use of a hybrid model to ensure continuity of CD support and results traction: Consider conducting short follow-up virtual meetings and missions on implementing action plans and recommendations to keep traction. Area departments could also engage in these meetings to check the progress on substantial recommendations and to boost management-level CD ownership. - Use online courses—possibly in a blended delivery format and in multiple languages—including Balance of Payments and International Investment Position Statistics (available in English, French, and Spanish) and External Debt Statistics (available in English). *Source: Authors.* --- _Source: https://www.imf.org/-/media/files/publications/tnm/2023/english/tnmea2023009.pdf_