## _cr06140 - 1. DQAF July 2003—Summary Results ## Source details **Canonical URL:** [_cr06140 - 1. DQAF July 2003—Summary Results](https://www.imf.org/-/media/websites/imf/imported-full-text-pdf/external/pubs/ft/scr/2006/_cr06140.pdf) ## Other formats - [Markdown version](/-/media/websites/imf/imported-full-text-pdf/external/pubs/ft/scr/2006/_cr06140.pdf.md) - [Structured JSON version](/-/media/websites/imf/imported-full-text-pdf/external/pubs/ft/scr/2006/_cr06140.pdf.json) --- ### I. Overall assessment (paragraphs 1–8) - Thailand subscribed to the Special Data Dissemination Standard (SDDS) on August 9, 1996, and started posting metadata on the Dissemination Standards Bulletin Board (DSBB) on September 19, 1996. - Thailand is in observance of the SDDS, meeting the specifications for coverage, periodicity, timeliness, and the dissemination of advance release calendars. - Timeliness caveat: “Due to technical problems with the implementation of the Government Finance Management Information System (GFMIS) and accrual accounting, the timeliness of the monthly data does not fully meet SDDS standards. This is indicated in a note on the National Data Summary Page on the DSBB.” - ROSC—Data Module main observations: - Well-developed macroeconomic statistical system with strengths across all assessed datasets. - Government recognizes the importance of good statistics; quality is a cornerstone of statistical work. - Notable staff professionalism and pride; prompt and knowledgeable user support. - Public access to data and metadata readily available, including via the Internet. - Statistical agencies at various stages of implementing international best practice methodologies; acceleration desirable. - Source data strengthening and legal framework modernization desirable. - Statistical revision policies and practices could be strengthened. - DQAF presentation: conclusions presented at the DQAF quality-dimension level: by agency for Dimensions 0 and 1, and across datasets for Dimensions 2–5. - Prerequisites of quality (summary): - Laws and decrees authorize BOT, NESDB, and FPO to collect/compile/disseminate statistics; cooperation effective, responsibilities overlap little. - For balance of payments, no explicit BOT mandate exists; BOT relies partially on foreign exchange control legislation to collect source data. - Resources broadly commensurate with present needs; additional resources would accelerate best-practice implementation. - Agencies actively monitor quality and engage users. - Assurances of integrity (summary): - Combination of legislation and tradition affords high degree of independence; agencies free to choose methodologies and data sources. - Staff well trained and professional; terms and conditions publicly available. - Government does not access statistics before public release; staff held to high ethical standards. - Methodological soundness (summary): - Monetary statistics follow MFSM; Balance of payments follow BPM5. - Quarterly and annual GDP generally conform to 1968 SNA; conversion to 1993 SNA has begun. - Government finance statistics transitioning to GFSM 2001, full implementation expected by 2009. - Balance of payments needs expanded scope and better coverage of services, income, and transfers. - Classification of financial derivatives in monetary statistics needs to conform with MFSM. - Fuller adoption of accrual methods and greater reliance on market prices would improve stock/flow recording. - Accuracy and reliability (summary): - Generally sound but affected by deficiencies in source data collection programs. - Balance of payments could rely less on ITRS and more on alternative sources. - More reliable household expenditure source data would improve national accounts. - Government finance statistics would benefit from more timely actual data on local governments. - Base year for constant price national accounts is far too old and should be updated. - Revision studies are routinely carried out; their results could be used more effectively to improve preliminary data. - Serviceability (summary): - Periodicity and timeliness meet or exceed SDDS standards. New MFSM monetary series available only from January 2005; main aggregates reconcilable between old and new series. - Datasets internally consistent and broadly consistent across datasets, though some inconsistencies exist. - Data revisions follow a regular and transparent schedule; preliminary and revised data clearly identified, but revision studies/analyses normally are not published. - Accessibility (summary): - High level of accessibility to data and metadata via websites and regular publications. - Data presented clearly and generally with appropriate detail. - Publications and websites identify contact points; prompt and knowledgeable support services available. - With the exception of national accounts, suitably detailed metadata are readily available to users. ### II. DQAF assessment by agency and dataset (summary symbols) - Key to symbols: O = Practice Observed; LO = Practice Largely Observed; LNO = Practice Largely Not Observed; NO = Practice Not Observed; NA = Not Applicable - Selected dimension scores (National Accounts | Government Finance Statistics | Monetary Statistics | Balance of Payments Statistics): - 0.1 Legal and institutional environment: O | O | O | LO - 0.2 Resources: LO | LO | O | O - 2.1 Concepts and definitions: LO | O | O | O - 2.2 Scope: LO | LO | O | LO - 3.1 Source data: O | LO | O | LO - 4.1 Periodicity and timeliness: O | O | O | O - 5.1 Data accessibility: LO | O | O | O ### III. Major dataset assessments — National Accounts (NESDB) - Legal and institutional environment: - NESDB Act of 1978 and civil service agreement give strong legal basis. - Confidentiality guaranteed under the Statistics Act, B.E. 2508 (1965). - Resources: - Staffing: a total of 37 staff work on national accounts. - Staff well trained; turnover low; computing facilities adequate. - Recommendation: increase number of staff to speed development; arrange offsite backup of data. - Methodological soundness and scope: - National accounts broadly in line with 1968 SNA; updating to 1993 SNA in progress, not expected to be completed until 2008. - Published: annual and quarterly GDP by production and expenditure; base year for constant price figures is 1988. - Annual supply and use tables not produced; I-O tables produced every five years. - Recommendation: expedite full conversion to 1993 SNA; change base year regularly (every year or at least every five years). - Accuracy and reliability: - Source data: economic census every 10 years; biennial establishment surveys; household socioeconomic survey every two years. - Statistical techniques: extensive use of benchmark data but only for two to three years; double deflation used for most industries. - Recommendations: - Correct treatment of work-in-progress for private forestry. - Derive inventory valuation adjustments, if necessary. - Extend double-deflation to all possible industries. - Update base year as a matter of urgency. - Serviceability and accessibility: - Quarterly GDP estimates published two months after period (consistent with SDDS). - Quarterly estimates consistent with annual figures; statistical discrepancy generally less than 1 percent for annual figures. - Metadata: methodological guide for quarterly GDP in Thai and English; more comprehensive coverage for annual figures recommended. - Recommendations: publish detailed methodological guide; include English commentary in annual publication; advertise availability of unpublished detailed breakdowns. ### IV. Major dataset assessments — Government Finance Statistics (FPO / MOF) - Legal and institutional environment: - Government finance statistics assigned to FPO under Official Information Act, B.E. 2540 (1997) and ministerial regulation on Organization of the Fiscal Policy Office, B.E. 2545 (2002), Section 8, number 4 (2). - GFS Committee established for formal arrangements with source producers. - Resources and operations: - Staff assigned adequate for existing tasks but insufficient for full migration to accrual accounting at all government levels; relatively high staff turnover. - GFMIS implementation and accrual accounting introduction caused timeliness and availability problems for monthly/quarterly source data in 2004/05. - Recommendation: resolve GFMIS problems so monthly/quarterly accrual data can be produced. - Methodological soundness and scope: - Monthly, quarterly, and annual GFS compiled and disseminated according to GFSM 2001; official migration path to full implementation by 2009. - Coverage: consolidated general government, all subsectors, and consolidated nonfinancial public sector; missing full balance sheet and Statement of Other Economic Flows. - Local government data for latest two years estimated; debt of social security funds and local governments not included (social security debt immaterial). - Accuracy and revision practices: - Source data routinely assessed; statistical techniques sound. - Preliminary data replaced with actual data per schedule; when estimated local government data replaced with actual data, no analysis of differences published. - Recommendation: publish analyses of differences between revised and preliminary data to assess reliability of preliminary data. - Accessibility and metadata: - Time series disseminated on MOF and FPO websites, monthly press releases, and FPO publications. - FPO and MOF websites include detailed document Thailand’s GFS: Information on Methodology, Data Coverage, and Compilation Practices; complete GFSM 2001 translated into Thai posted online. ### V. Major dataset assessments — Monetary Statistics (Bank of Thailand) - Concepts and classification: - Conform to MFSM methodology. - Coverage includes all depository corporations except money market, mutual funds, and credit cooperatives (cooperatives and mutual funds represent less than 5 percent of total deposit-like liabilities). - Financial derivatives currently classified as off-balance sheet positions (recommendation: include as balance-sheet items). - Basis for recording: - Generally follows MFSM: uses market or fair prices except securities intended for investment recorded at book values; relies on accrual accounting; performs grossing and netting operations. - Source data and timeliness: - Obtained from comprehensive and up-to-date register of financial institutions; data timely. - New MFSM-based monetary statistics start in January 2005; BOT to provide pre-MFSM series until end of 2006. - Statistical systems and revisions: - Compilation process highly automated; revision cycle pre-determined and communicated. - BOT provides all responses to user queries within three working days. - Recommendations and plans: - Include financial derivatives in monetary statistics. - Reconstruct monetary statistics following MFSM as far back in time as possible. - BOT will include financial derivatives in monetary statistics; dissemination inclusive of financial derivatives projected to start in 2007. - BOT intends to publish on the BOT website at the end of March 2006 the historical series as far back as year 2003. ### VI. Major dataset assessments — Balance of Payments (Bank of Thailand) - Legal and institutional environment: - Compiled and disseminated by DMD of BOT under Bank of Thailand Act B.E. 2485 (1942) and related statutes. - No explicit legal mandate for compiling BOP statistics; authority viewed as implicit and not challenged in practice. - Recommendation: seek appropriate legal clarification to assign responsibility to BOT for BOP compilation and to empower BOT to access necessary source data with penalties for noncompliance. - Concepts, scope, and classification: - Concepts follow BPM5; deviations exist (e.g., reinvested earnings not included; mixture of cash and accrual recording for some items). - Some trade and service transactions not captured (smuggling, Internet commerce, shuttle trade); ITRS is main source but incomplete. - Recommendation: develop comprehensive data sources to complement ITRS, including for unrecorded trade, services, income, transfers, and financial account items. - Source data and validation: - Main sources: ITRS, Customs, IIP survey, external debt survey, administrative reports, and ad hoc reports. - ITRS reporting: aggregated data up to US$20,000; itemized reporting above US$20,000. - Surveys show roughly 85 percent response rates for IIP and external debt surveys. - Recommendation: develop alternative data sources where ITRS is sole source and establish better cross-checks. - Timeliness, revisions, accessibility: - BOP data compiled monthly and published monthly, quarterly, and annually; monthly data available within two months; quarterly/annual within three months. - Revision studies carried out but not published; recommendation to publish revision analyses. - BOT formed working group; first phase expected to start in July 2006 to obtain supplementary sources for services and income accounts to be completed by 2008. - Authorities’ implementation plans (selected): - BOT concurs on need for complementary data sources and legal mandate strengthening. - Supplementary data incorporated to date: IIP, external debt, trade credit and freight/insurance surveys, administrative data, and direct reports. - Legal mandate: NSO drafted amendment to the Statistics Act to ensure legal mandate for other agencies to compile/disseminate national statistics; legal mandate for BOT to compile/disseminate BOP statistics and to conduct relevant surveys will be applied. ### VII. Selected staff recommendations (dataset-focused, verbatim) - National Accounts: - Change the base year for the volume figures every year or, at least, every five years. - Expedite the full conversion to the 1993 SNA. - Disseminate a more detailed methodological guide for the national accounts in hard copy and/or on the NESDB’s website. - Government Finance Statistics: - Explore ways to include monthly data for the seven extrabudgetary funds that are excluded from the 2004/05 and 2005/06 data. - Resolve problems with the GFMIS so that monthly (and quarterly) accrual data can be produced for the budgetary central government. - Monetary Statistics: - Include financial derivatives now recorded as off-balance sheet positions in monetary statistics. - Reconstruct the monetary statistics following the MFSM as far back in time as possible. - Balance of Payments: - Develop comprehensive data sources to complement the ITRS (unrecorded trade, services, income, transfers, financial account). - Strengthen BOT’s legal mandate to compile and disseminate BOP statistics, including mandatory reporting of BOP source data by all resident units. ### VIII. Authorities’ responses and implementation plans (selected, with timelines preserved) - NESDB: - Plans to change the base year to the annual chained volume measure by the end of 2006. - Plans to complete at least the production accounts for full conversion to the 1993 SNA by the end of 2007. - Methodological guide to be improved and updated; planned release by early 2006 in Thai and English via website and hard copy. - Immediate actions: dissemination of seasonally adjusted GDP series at current market prices; annotation on revised figures for quarterly GDP and annual National Income Statistics; English versions of commentary and specific contact points added to publications. - FPO / GFMIS: - FPO will use NESDB and/or SEPO data for 2004/05 annual data to ensure consistency; monthly historical series not yet available. - Work plan to produce accrual source data by 2007 for budgetary central government includes mapping between GFS classification and accounting code; developing an application for GFS data; conducting GFS dataset accuracy test. - BOT — Monetary Statistics: - BOT will include financial derivatives in monetary statistics; dissemination inclusive of financial derivatives projected to start in 2007. - BOT intends to publish on the BOT website at the end of March 2006 the historical series as far back as year 2003. - During transition to MFSM, BOT will accommodate data users by providing the pre-MFSM until the end of 2006. - BOT — Balance of Payments: - Working group formed; first phase expected to start in July 2006 to obtain supplementary data sources for significant-value items of services and income accounts and to be completed by 2008. - NSO has drafted an amendment to the Statistics Act; legal mandate for BOT to compile and disseminate BOP statistics and to conduct relevant surveys will also be applied. *Source: IMF staff Report applying the Data Quality Assessment Framework, July 2003; International Monetary Fund — Thailand: Report on the Observance of Standards and Codes (ROSC)—Data Module, April 10, 2006.* ### 1. DQAF July 2003—Summary Results................................................................................7 ### _cr06140 - 1. DQAF July 2003—Summary Results................................................................................7 ### I. Overall assessment (paragraphs 1–8) - Thailand subscribed to the Special Data Dissemination Standard (SDDS) on August 9, 1996, and started posting its metadata on the Dissemination Standards Bulletin Board (DSBB) on September 19, 1996. Thailand is in observance of the SDDS, meeting the specifications for coverage, periodicity, timeliness, and the dissemination of advance release calendars. - Note: “Due to technical problems with the implementation of the Government Finance Management Information System (GFMIS) and accrual accounting, the timeliness of the monthly data does not fully meet SDDS standards. This is indicated in a note on the National Data Summary Page on the DSBB.” - The ROSC—Data Module main observations: - Thailand possesses a well-developed macroeconomic statistical system with strengths across all assessed datasets. - The government recognizes the importance of good statistics; quality is a cornerstone of statistical work. - Staff professionalism and pride are notable. - Public access to data and metadata is readily available, including via the Internet, with prompt and knowledgeable user support. - Statistical agencies are at various stages of implementing international best practice methodologies; acceleration would be beneficial. - Source data strengthening and modernization of the legal framework for collection/compilation/dissemination are desirable. - Statistical revision policies and practices could be strengthened. - DQAF application and presentation: - The mission’s conclusions are presented at the DQAF quality-dimension level: by agency for Dimensions 0 and 1, and across datasets for Dimensions 2–5. - Prerequisites of quality (summary): - Laws and decrees authorize BOT, NESDB, and FPO to collect, compile, and disseminate relevant statistics; these do not always give exclusive authority, but cooperation is effective and responsibilities overlap little. - For balance of payments statistics, no explicit BOT mandate exists, adversely affecting comprehensiveness; BOT relies partially on foreign exchange control legislation to collect source data. - Resources are broadly commensurate with present needs, though additional resources would accelerate implementation of best-practice methodologies. - Agencies actively monitor quality and engage users to ensure relevance. - Assurances of integrity (summary): - Combination of legislation and tradition affords a high degree of independence; agencies are free to choose methodologies and data sources. - Staff are well trained and professional; terms and conditions under which statistics are compiled are publicly available. - The government does not access statistics before public release; staff held to high ethical standards. - Methodological soundness (summary): - Concepts and definitions broadly conform to international standards: Monetary statistics follow MFSM; Balance of payments follows BPM5. - Quarterly and annual GDP generally conform to 1968 SNA; conversion to 1993 SNA has begun and some 1993 SNA changes have been introduced. - Government finance statistics are transitioning to GFSM 2001, with full implementation expected by 2009. - National accounts and government finance would align fully with international methodologies after full 1993 SNA and GFSM 2001 implementation. - Balance of payments needs expanded scope: additional sources for unrecorded trade and better coverage of services, income, and transfers. - Classification of financial derivatives in monetary statistics needs to conform with MFSM. - A fuller adoption of accrual methods and greater reliance on market prices would improve stock/flow recording. - Accuracy and reliability (summary): - Generally sound, but affected by deficiencies in source data collection programs. - Balance of payments could rely less on ITRS and more on alternative sources. - More reliable household expenditure source data would improve national accounts. - Government finance statistics would benefit from more timely actual data on local governments. - Procedures for assessing source data are adequate; statistical techniques to assess and validate intermediate data and outputs are adequate. - Base year for constant price national accounts is far too old and should be updated. - Revision studies are routinely carried out, though their results could be used more effectively to improve preliminary balance of payments data. - Serviceability (summary): - Periodicity and timeliness meet or exceed SDDS standards. New MFSM monetary series available only from January 2005; main aggregates are reconcilable between old and new series. - Datasets are internally consistent and broadly consistent across datasets, though some inconsistencies exist. - Data revisions follow a regular and transparent schedule; preliminary and revised data are clearly identified, but revision studies/analyses normally are not published. - Accessibility (summary): - High level of accessibility to data and metadata via websites and regular publications. - Data are presented clearly and generally with appropriate detail. - Publications and websites identify contact points for user assistance; prompt and knowledgeable support services are available. - With the exception of national accounts, suitably detailed metadata are readily available to users. ### II. Assessment by agency and dataset — Summary results (Table 1) Key to symbols: O = Practice Observed; LO = Practice Largely Observed; LNO = Practice Largely Not Observed; NO = Practice Not Observed; NA = Not Applicable - Dimensions/elements (rows) versus datasets (columns): National Accounts | Government Finance Statistics | Monetary Statistics | Balance of Payments Statistics - 0. Prerequisites of quality - 0.1 Legal and institutional environment: National Accounts = O; Government Finance = O; Monetary = O; Balance of Payments = LO - 0.2 Resources: National Accounts = LO; Government Finance = LO; Monetary = O; Balance of Payments = O - 0.3 Relevance: National Accounts = O; Government Finance = O; Monetary = O; Balance of Payments = O - 0.4 Other quality management: National Accounts = O; Government Finance = O; Monetary = O; Balance of Payments = O - 1. Assurances of integrity - 1.1 Professionalism: National Accounts = O; Government Finance = O; Monetary = O; Balance of Payments = O - 1.2 Transparency: National Accounts = O; Government Finance = O; Monetary = O; Balance of Payments = O - 1.3 Ethical standards: National Accounts = O; Government Finance = O; Monetary = O; Balance of Payments = O - 2. Methodological soundness - 2.1 Concepts and definitions: National Accounts = LO; Government Finance = O; Monetary = O; Balance of Payments = O - 2.2 Scope: National Accounts = LO; Government Finance = LO; Monetary = O; Balance of Payments = LO - 2.3 Classification/sectorization: National Accounts = O; Government Finance = O; Monetary = LO; Balance of Payments = LO - 2.4 Basis for recording: National Accounts = LO; Government Finance = LO; Monetary = O; Balance of Payments = LO - 3. Accuracy and reliability - 3.1 Source data: National Accounts = O; Government Finance = LO; Monetary = O; Balance of Payments = LO - 3.2 Assessment of source data: National Accounts = O; Government Finance = O; Monetary = O; Balance of Payments = O - 3.3 Statistical techniques: National Accounts = LO; Government Finance = O; Monetary = O; Balance of Payments = O - 3.4 Assessment and validation of intermediate data and statistical outputs: National Accounts = O; Government Finance = O; Monetary = O; Balance of Payments = O - 3.5 Revision studies: National Accounts = O; Government Finance = O; Monetary = O; Balance of Payments = LO - 4. Serviceability - 4.1 Periodicity and timeliness: National Accounts = O; Government Finance = O; Monetary = O; Balance of Payments = O - 4.2 Consistency: National Accounts = O; Government Finance = O; Monetary = LO; Balance of Payments = O - 4.3 Revision policy and practice: National Accounts = LO; Government Finance = LO; Monetary = O; Balance of Payments = LO - 5. Accessibility - 5.1 Data accessibility: National Accounts = LO; Government Finance = O; Monetary = O; Balance of Payments = O - 5.2 Metadata accessibility: National Accounts = LO; Government Finance = O; Monetary = O; Balance of Payments = O - 5.3 Assistance to users: National Accounts = O; Government Finance = O; Monetary = O; Balance of Payments = O - Practice definitions (verbatim): - Practice observed: current practices generally in observance meet or achieve the objectives of DQAF internationally accepted statistical practices without any significant deficiencies. - Practice largely observed: some departures, but these are not seen as sufficient to raise doubts about the authorities’ ability to observe the DQAF practices. - Practice largely not observed: significant departures and the authorities will need to take significant action to achieve observance. - Practice not observed: most DQAF practices are not met. - Not applicable: used only exceptionally when statistical practices do not apply to a country’s circumstances. ### III. Assessment of Dimensions 0 and 1 — National Economic and Social Development Board (Table 2a) - Legal and institutional environment - The NESDB Act of 1978, together with a formal civil service agreement, gives the NESDB a strong legal basis for compiling and disseminating the national accounts statistics. - NESDB has good data sharing and coordination procedures with other government agencies. - Confidentiality of respondents’ data is guaranteed under the Statistics Act, B.E. 2508 (1965), which governs the operations of the National Statistical Office (NSO), the NSO being the main supplier of data for the national accounts. - NESDB and NSO have effective procedures for protecting and disposing of respondents’ data. - The Statistics Act specifies penalties for respondents who do not supply relevant data; however, the NSO prefers to use persuasion in such cases. - Resources - Staff and computer resources are sufficient to perform existing tasks. - Speed of development work is slow owing to staff restrictions. - Staff are well trained, and turnover is low. - Accommodation is conducive to good working conditions. - Effective procedures ensure efficient use of resources. - Relevance - Annual workshop open to any interested person allows NESDB and other participants to raise statistical issues. - Mechanisms exist to raise issues outside the workshop program. - NESDB is active internationally and undertakes user surveys to identify new and emerging data requirements. - Other quality management - Management does not have a formal quality program but is committed to data quality and integrates quality into planning and staff training. - NESDB demonstrates commitment to quality to the wider community and monitors quality as part of planning. - Professionalism - NESDB Act establishes NESDB independence; Secretary-General can only be appointed/dismissed by the Prime Minister. - Professionalism is promoted: recruitment and promotion based on ability/expertise; internal on-the-job training; international courses/seminars; peer review of work processes. - Staff encouraged to write/publish methodological articles. - NESDB free to choose data sources and methodologies and to decide method/timing of dissemination. - NESDB undertakes press conferences to explain data and circulates media references within NESDB to manage misinterpretation. - Transparency - Terms and conditions under which national accounts are produced are given in publications and on the NESDB website. - Publications identify where additional information can be found. - No other government agency has access to the statistics prior to public release. - Publications clearly identify NESDB and request source citation when their data appear in other bodies’ publications. - Major changes to statistics are announced in advance in NESDB publications and on the website; minor changes are noted when introduced. - Ethical standards - No written guidance on ethical standards, but staff are regularly reminded of the need to keep data confidential. - National accounts compilers guided by the Code of Conduct for Public Servants. ### IV. Assessment of Dimensions 0 and 1 — Fiscal Policy Office in the Ministry of Finance - (Assessment begins in the source after Table 2a; Table 2b heading present in the source.) *Source: IMF staff Report applying the Data Quality Assessment Framework, July 2003.* ### 0. Prerequisites of quality ### 0. Prerequisites of quality ### 1. Assurances of integrity — Fiscal Policy Office (FPO), Ministry of Finance (MOF) - Legal and institutional environment - The FPO in the MOF compiles and disseminates a broad range of economic and fiscal data in accordance with the Official Information Act, B.E. 2540 (1997). - Responsibility for collecting, processing, and disseminating government finance statistics (GFS) according to the GFSM 2001 is assigned to the FPO in a ministerial regulation on the Organization of the Fiscal Policy Office, B.E. 2545 (2002), Section 8, number 4 (2). - Formal arrangements and procedures, through the establishment of a GFS Committee, have been set among the FPO, source data-producing agencies, and other macroeconomic statistics compilers. - Individual reporters’ data are kept confidential and used for statistical purposes only in accordance with the Official Information Act. - Statistical reporting is normally ensured through the GFS Committee and, as a last resort, the Official Information Act. - Resources - Number of staff assigned to GFS compilation is adequate for existing tasks but will not suffice to perform further development in the migration to full accrual accounting at all levels of government. - Relatively high rate of staff turnover; a core group of staff with extensive GFS knowledge does not exist in the FPO, with the exception of the head of the division. - Facilities, computer, and financial resources are adequate. - Sufficient measures implemented to ensure the efficient use of resources. - Relevance - Relevance and practical utility of GFS are monitored regularly through a users’ survey on the FPO’s GFS website. - FPO regularly consults with policy departments and other users, such as the NESDB, on relevance and usefulness of GFS. - Other quality management - A recently introduced quality standard for government agencies is the main guiding principle for data quality management. - The FPO has been certified under the data quality standard of this program. - Adequate processes are in place to monitor the quality of the GFS program, such as obtaining feedback and data quality surveys from users. - Professionalism - Culture of professionalism promoted in the FPO and MOF. - GFS compilers commit to compiling statistics according to the GFSM 2001 methodology and are not influenced by fiscal policy analysis or other considerations. - Recruiting procedures ensure GFS compilers are suitably qualified. - Measures to prevent misinterpretation/misuse of statistics include posting comprehensive metadata on the website, explanatory materials in the Fiscal Journal, and monthly press releases on GFS. - If GFS data are used incorrectly or misinterpreted, the FPO is allowed to comment and/or provide further explanations. - Transparency - Code of practice on data collection, processing, dissemination, and analysis published on FPO and MOF websites. - No internal governmental access to the GFS prior to their release. - GFS production by the FPO is clearly identified and data sources, where relevant, are clearly identified. - Policy to inform users in advance of major changes in methodology or source data. - Ethical standards - GFS compilers guided by the Code of Conduct for Public Servants and the Code of Practice for compiling GFS. ### 1. Assurances of integrity — Bank of Thailand (BOT) - Legal and institutional environment - BOT collects, compiles, and disseminates monetary and balance of payments (BOP) statistics. - Compilation undertaken under the Bank of Thailand Act, B.E. 2485 (1942) and regulated under statutory orders: Commercial Banking Act, B.E. 2505; Act on the Undertaking of Finance Business, Securities Business and Credit Fonciers, B.E. 2522; and the Exchange Control Act, B.E. 2485. - No explicit legal mandate for compiling BOP statistics, but BOT’s authority to do so is not challenged. - Reporting under these Acts is mandatory, but the Acts do not cover sufficient data sources for BOP compilation. - Existing regulations safeguard confidentiality of individual reporters’ data and impose penalties for disclosure. - Adequate data-sharing arrangements exist within the BOT to ensure efficient and timely flow of monetary and BOP statistics source data. - Resources - Staff resources are adequate to compile monetary and BOP statistics. - Staff knowledgeable of statistical methodologies; have attended in-house and IMF/regional training courses. - Compilation processes highly computerized; computer systems regularly updated. - Relevance - Mechanisms to monitor users’ needs, including periodic meetings with targeted users. - Users’ surveys conducted every two years. - Staff participate in international and regional statistical meetings and seminars. - Users’ feedback encouraged via telephone and e-mail contact information for dataset staff. - Other quality management - Data Management Committee and Statistical Code of Practice align closely with international best practices. - Operational audits of data sources and compilation processes conducted regularly. - Professionalism - BOT empowered in practice to formulate necessary policies and procedures despite Ministry of Finance oversight. - Compilers feel free from undue influence in compiling statistics. - Recruitment and personnel policies consider professional and educational qualifications; promotions merit-based. - Proactive culture change program to entrench BOT shared values and build relations with other reporting institutions. - Transparency - Terms and conditions for collection, processing, and dissemination posted on BOT website. - No internal governmental access to statistics prior to release. - All BOT statistics publications clearly identified with name, logo, and insignia. - Users informed in advance of major methodological changes to monetary and BOP statistics. - Ethical standards - BOT's Code of Conduct and Statistical Code of Practice provide guidelines on staff behavior, objectivity, and compilation standards. - New staff informed of guidelines at joining and reminded periodically, e.g., at annual performance reviews. ### National Accounts — Methodological soundness, Accuracy and reliability, Serviceability, Accessibility - Concepts and definitions - National accounts broadly in line with the 1968 SNA; updating to the 1993 SNA is in progress and not expected to be completed until 2008. - Scope - Published data cover annual and quarterly GDP, both production and expenditure approaches, at current and constant prices. - Some outputs, such as annual supply and use tables, are not produced. - Production and asset boundaries generally conform to the 1968 SNA. - Classification/sectorization - All transactions and flows use appropriate international classifications. - Basis for recording - Valuation rules generally in accordance with the 1968 SNA. - Output and value added shown at market, rather than producer, prices. - All government data recorded on a cash, rather than accrual, basis. - Average monthly, rather than daily, exchange rates are used. - Source data - Economic census of businesses every 10 years with updates in intervening years. - Biennial surveys of all establishments. - Household socio-economic survey every two years. - Various sources (other ministries) used for intervening period estimates. - Assessment of source data - NESDB routinely assesses source data. - Statistical techniques - Extensive use of benchmark data, but only for two to three years. - Base year for constant price figures is 1988. - Assessment and validation of intermediate data and outputs - Source data routinely checked against other data. - Statistical discrepancy between production and expenditure figures is investigated and adjusted when necessary. - Revision studies - Revision studies undertaken and used to improve statistics. - Periodicity and timeliness - Quarterly GDP estimates published two months after the end of the period, in line with the SDDS requirements. - Consistency - Quarterly estimates fully consistent with annual figures. - Current and constant price figures totally comparable. - Statistical discrepancy shown separately; generally less than 1 percent for the annual figures. - Imports and exports figures totally consistent with BOT figures. - General government figures reconcilable with GFS produced by MOF. - Revision policy and practice - Well-established revision policy fully explained to users. - Changes outside cycle clearly noted; preliminary data clearly indicated. - Results of revision studies noted in publications. - Time-series analysis of revisions is not published to allow assessment of preliminary data reliability. - Data accessibility - GDP figures published with different levels of detail appropriate to specific publications. - Analyses of current period developments provided. - Advance release calendar published. - Data available to all users simultaneously via press release, publications, and NESDB website. - Some additional breakdowns can be supplied subject to confidentiality; service not advertised. - Metadata accessibility - Methodological guide for quarterly GDP in Thai and English; should be more comprehensive and cover annual figures. - NESDB updates SDDS metadata as soon as a change occurs. - Some general metadata produced for wider audience needs. - Assistance to users - Specific contact points for each topic and a catalog of NESDB products on NESDB website. - Details for national accounts given in the quarterly publication. ### Government Finance Statistics (GFS) — Methodological soundness, Accuracy and reliability, Serviceability, Accessibility - Concepts and definitions - Monthly, quarterly, and annual GFS (including debt) compiled and disseminated according to the GFSM 2001. - An official migration path is followed to implement fully by 2009 the GFSM 2001 for all of general government. - Scope - GFS cover operations of consolidated general government sector, all subsectors, and the consolidated nonfinancial public sector. - GFS currently cover all economic stocks and flows, except for a full balance sheet and a statement of other economic flows. - Debt of social security funds (an immaterial amount) and local governments are not included in GFS. - Classification/sectorization - General government sector and nonfinancial public corporations defined in accordance with the 1993 SNA and GFSM 2001. - All GFS aggregates and components classified in accordance with GFSM 2001 methodology. - Basis for recording - Flows recorded at market prices; liabilities recorded at face value. - Not all general government data are on an accrual basis. - Source data - Source data collection programs broadly adequate but room for improvement. - Local government data for the latest two years have to be estimated. - Introduction of accrual accounting and GFMIS at budgetary central government level in 2004/05 caused unexpected problems in timeliness and availability of monthly and quarterly source data for budgetary central government and some extrabudgetary funds. - Not all sources yet on an accrual basis and/or using market prices as valuation. - Assessment of source data - Source data routinely assessed and verified against other sources; issues resolved through the GFS Committee and direct contacts. - Statistical techniques - Statistical techniques (including estimation of local government data) employed to compile GFS are sound. - Assessment and validation of intermediate data and outputs - All results cross-checked with relevant GFS Committee members’ data. - Revision studies - Revision studies routinely carried out to improve estimates of local government data. - Periodicity and timeliness - GFS disseminated by the FPO follow the SDDS requirements for timeliness and periodicity. - Consistency - GFS internally consistent and reconcilable for the period 1990 to present. - Largely consistent with national accounts, BOP, and monetary statistics; small differences reconcilable. - Revision policy and practice - Preliminary data replaced with actual data according to a clear schedule posted on the FPO website. - Preliminary and revised data clearly identified. - When estimated local government data are replaced with actual data, no analysis of differences between revised and estimated data is published to allow assessment of preliminary data reliability. - Data accessibility - Time series disseminated according to standard components, statements, and tables of GFSM 2001 on MOF and FPO websites, in monthly press releases, and other FPO publications. - GFS released to all users at the same time according to an advance release calendar posted on FPO website. - Users invited to request statistics not routinely disseminated. - Metadata accessibility - FPO and MOF websites include detailed document Thailand’s GFS: Information on Methodology, Data Coverage, and Compilation Practices. - Complete GFSM 2001, translated in Thai, posted on these websites. - Simplified metadata on GFS exist for varied audiences. - Assistance to users - FPO and MOF websites include complete contact information for GFS and list of all FPO publications in e-library. ### Monetary Statistics — Methodological soundness, Accuracy and reliability, Serviceability, Accessibility - Concepts and definitions - Conform to MFSM methodology. - Scope - Coverage includes all depository corporations, except money market, mutual funds, and credit cooperatives. - Cooperatives and mutual funds represent less than 5 percent of total deposit-like liabilities. - Classification/sectorization - Sectorization of institutional units in line with MFSM. - Classification of financial instruments in line with MFSM, except financial derivatives, which are classified as off-balance sheet positions. - Basis for recording - Generally follows MFSM methodology: - (1) uses market prices or fair prices for valuation, except for securities intended for investment purposes recorded at book values; - (2) relies on accrual accounting; and - (3) performs grossing and netting operations, as recommended. - Source data - Obtained from a comprehensive and up-to-date register of all financial institutions. - Provide sufficient detail to identify financial instruments and counterpart sectors, and approximate definitions, valuation, and time of recording recommended in MFSM. - Source data are timely. - Assessment of source data - Procedures to assess source data are sound. - Balance sheet data routinely reviewed; banks consulted for clarification when unusual movements detected. - Statistical techniques - Statistical techniques are sound. - Compilation process highly automated; electronic compilation procedures minimize errors. - Assessment and validation of intermediate data and outputs - Intermediate data assessed and validated against available information, e.g., register for government securities. - Revision studies - Revisions carried out and used to inform data collection and compilation process. - Periodicity and timeliness - In line with SDDS requirements. - Consistency - Monetary statistics consistent within dataset. - Consistent time series following the 1986 guidelines are available. - Data compiled according to the MFSM only start in January 2005, and main aggregates are not always easily reconcilable. - Monetary statistics are consistent with BOP and government finance statistics. - Revision policy and practice - Revision cycle pre-determined, stable, and communicated through BOT’s quarterly bulletin and website. - Reasons underlying revisions explained to the public. - Magnitude of revisions normally negligible. - Data accessibility - Presentation generally clear; dissemination media adequate; statistics released on a preannounced schedule. - Statistics available to all users simultaneously; no users outside the Data Management Department (DMD) have prior access. - Unpublished nonconfidential data available on request. - Metadata accessibility - Methodological notes posted on BOT’s website, hyperlinked to IMF’s DSBB. - Other methodological notes found in BOT’s bulletins. - Assistance to users - BOT provides adequate assistance; contact information provided in publications and website. - All questions receive a response within three working days. - List of publications, dissemination calendar, and prices available on BOT’s website; each statistical publication includes subscription forms. *Source: _cr06140 - 0. Prerequisites of quality* ### 2. Methodological soundness ### _cr06140 - 2. Methodological soundness ### Concepts, scope, and classification - Concepts and definitions follow the provisions of BPM5 and other international best practice. - Scope: - Generally consistent with guidelines and good practices. - Some data on foreign trade not recorded by customs are not included in the BOP: smuggling, Internet commerce, and shuttle trade. - Data on services and income are not fully recorded, owing to data source constraints. - Classification/sectorization: - BOT follows broadly the sectorization and classification recommended by BPM5. - Deviations exist with regard to transfers and various current account items. - Reinvested earnings are not included in the BOP. ### Basis for recording and valuation - BOT records transactions at market prices or uses appropriate proxies. - Recording principles mix cash and accrual accounting, owing to constraints in the source data. - In BOP, BOT disseminates imports valued c.i.f. rather than f.o.b. ### Source data, compilation, and validation - Source data: - Data collection programs are not fully comprehensive. - Customs and foreign exchange records are the most important data sources. - IIP, external debt, and tourist expenditure surveys are also used. - Further sources complementary to the ITRS should be developed. - Data sourcing is done in a timely fashion. - Assessment of source data: Source data are routinely assessed. - Statistical techniques: Data compilation, estimation, and adjustments are carried out using sound techniques. - Assessment and validation: - In general, sound methods are used for assessing and validating data at all stages. - Most financial accounts data are reconcilable with the international investment position, but the lack of secondary data prevents checking of some data categories. - Revision studies: - Revision studies are carried out in sufficient detail. - Results are used for fine-tuning preliminary data of most items, with the important exception of trade data. - Consistency: BOP data are consistent over time and internally consistent and reconcilable with related datasets. - Revision policy and practice: - There is a sound and transparent revision policy. - Revisions are carried out quarterly for some items and annually for others, depending on data availability. - Revision studies are not published. ### Periodicity, timeliness, and accessibility - Periodicity and timeliness: - BOP data are compiled monthly and published on a monthly, quarterly, and annual basis via the BOT website. - Monthly data are available within two months. - Quarterly and annual data are available within three months, consistent with the SDDS requirements. - Data accessibility: - BOP data are clearly presented and easily accessible through the BOT website and its statistical publications. - A publication schedule is published. - Only staff of the DMD of the BOT directly involved in compilation have prior access to data. - Detailed data not published routinely are available from the BOT on request; contact details are easily available. - Metadata accessibility: Metadata are available from the statistical bulletin and the website of the BOT, and are sufficiently detailed. - Assistance to users: - BOT publishes detailed contact information for each subject field for questions and comments. - All questions receive a response within three working days. - A catalog of publications is available. ### Staff’s recommendations (selected, dataset-focused) National Accounts - Change the base year for the volume figures every year or, at least, every five years. - Expedite the full conversion to the 1993 SNA. - Disseminate a more detailed methodological guide for the national accounts in hard copy and/or on the NESDB’s website. Government Finance Statistics - Explore ways to include monthly data for the seven extrabudgetary funds that are excluded from the 2004/05 and 2005/06 data, so monthly (and quarterly) time series for consolidated central government are consistent and comparable with earlier data. - Resolve problems with the GFMIS so that monthly (and quarterly) accrual data can be produced for the budgetary central government. Monetary Statistics - Include financial derivatives now recorded as off-balance sheet positions in monetary statistics. - Reconstruct the monetary statistics following the MFSM as far back in time as possible. Balance of Payments Statistics - Develop comprehensive data sources (covering unrecorded trade, services, income, transfers, and the financial account) to complement administrative data from the International Transactions Reporting System (ITRS). - Strengthen the BOT’s legal mandate to compile and disseminate balance of payments statistics, including provisions for mandatory reporting of BOP source data by all resident units. ### Authorities’ responses and implementation plans (selected, with timelines) National Economic and Social Development Board (NESDB) - Plans to change the base year to the annual chained volume measure by the end of 2006. - Plans to complete at least the production accounts for full conversion to the 1993 SNA by the end of 2007. - Methodological guide to be improved and updated; planned release by early 2006 in Thai and English via website and hard copy. - Immediate actions: dissemination of seasonally adjusted GDP series at current market prices; annotation on revised figures for quarterly GDP and annual National Income Statistics; English versions of commentary and specific contact points added to publications. Fiscal Policy Office (FPO) / GFMIS - FPO will use NESDB and/or SEPO data for 2004/05 annual data to ensure consistency; monthly historical series not yet available. - Work plan to produce accrual source data by 2007 for budgetary central government includes: - Mapping between GFS classification and accounting code; - Developing an application for GFS data; - Conducting GFS dataset accuracy test. Bank of Thailand (BOT) — Monetary Statistics - BOT will include financial derivatives in monetary statistics; dissemination of monetary statistics inclusive of financial derivatives is projected to start in 2007. - BOT intends to publish on the BOT website at the end of March 2006 the historical series as far back as year 2003. - During transition to MFSM, BOT will accommodate data users by providing the pre-MFSM until the end of 2006. Bank of Thailand (BOT) — Balance of Payments Statistics - BOT concurs that more comprehensive data sources are needed to complement the ITRS and expand coverage and move toward accrual accounting. - Supplementary data incorporated to date: surveys on the International Investment Position, External Debt, and recent surveys on trade credit and freight and insurance for imports/exports; administrative data from public and state enterprises and direct reports. - A working group has been formed to prioritize and study feasibility of additional source development. - Implementation phases: - First phase expected to start in July 2006 to obtain supplementary data sources for significant-value items of services and income accounts and to be completed by 2008. - Legal mandate: - NSO has drafted an amendment to the Statistics Act to ensure legal mandate for other individual government agencies to compile and disseminate national statistics under their own responsibility. - Legal mandate for the BOT to compile and disseminate BOP statistics and to conduct relevant surveys will also be applied. *International Monetary Fund — Thailand: Report on the Observance of Standards and Codes (ROSC)—Data Module, April 10, 2006* ### 1. Data Quality Assessment Framework (July 2003): Summary of Results for ### Data Quality Assessment Framework (July 2003): Summary of Results for National Accounts ### 0. Prerequisites of quality — Legal and institutional environment - Responsibility for national accounts: - The National Economic and Social Development Board (NESDB) Act of 1978 empowers the NESDB to collect and compile macroeconomic statistics, but does not specifically mention national accounts. - By Ministerial Regulations of 2002, the NESDB has sole responsibility for producing national accounts statistics. - There has never been any challenge to the NESDB’s responsibility for compiling and disseminating national accounts. - Data sharing and coordination: - A regular program of discussions with the main data-supplying agencies ensures the timely delivery of data. - Similar discussions take place with other suppliers only when necessary; NESDB does not experience delays in receiving required data. - Confidentiality and data handling: - NESDB is covered by the Official Information Act B.E. 2540 (1997), requiring individual data collected by government agencies to be kept confidential and prohibiting disclosure or use for nonstatistical purposes without respondent written agreement. - Individual records no longer required are shredded with permission of a senior officer; individual offices must be locked when not in use; secure access to the building is being introduced; individual staff have computer passwords with restricted access. - NESDB relies on other agencies (principally NSO) for many surveys; NSO operations are covered by The Statistics Act, B.E. 2508 (1965), currently being updated, which states respondents’ data must be kept confidential and notes this on all survey questionnaires. - Penalty for noncompliance under the Statistics Act: jail term up to six months and/or a fine of no more than 1,000 baht (around US$25). - NSO aggregation rule: data will not be released if they relate to fewer than three individual respondents; data are reviewed to avoid indirect disclosure from dominant entities. - Individual records sometimes provided to researchers with identification details removed; destruction of report forms is undertaken by another group in the NSO. - Recommendations: - The NSO survey teams should ensure that report forms are being destroyed in a secure fashion. - The revised Statistics Act should be passed as soon as possible to bring the fines for noncompliance up to date. - Statistical reporting mandate: - Section 22 of the Statistics Act states all respondents must supply requested data; penalty for not supplying data is a fine of up to 500 baht (about US$12). - No prosecution has taken place; NSO prefers persuasion and provides contact points on questionnaires; positive approach to respondents’ complaints. - Recommendation reiterated: The revised Statistics Act should be passed as soon as possible to bring the fines for noncompliance up to date. ### 0.2 Resources - Staffing and capacity: - A total of 37 staff work on national accounts, which is just enough to compile and disseminate the existing dataset. - Adoption of the System of National Accounts 1993 (1993 SNA) is proceeding slowly. - Recruits must have a degree in a relevant subject, mainly economics; most training is on-the-job with mentoring; international training encouraged. - Staff turnover is quite low; civil service salary levels are quite low compared to the private sector. - Computing and facilities: - Computer facilities fully meet national accounts needs. - All data are held on two file servers (redundant hardware); another data set is held in a separate building but on the same site — loss of the site would have a serious impact. - Office building, furniture, equipment, and transportation facilities are adequate. - Financing: - Funding of the statistical program is adequate for the current workload. - Efficiency measures: - Formal staff performance reviews every six months; regular review of work processes; outside experts recruited when necessary; work activities costed regularly for resource reallocation. - Recommendations: - The number of staff working on national accounts should be increased to speed up developmental activity. - The NESDB should arrange for the offsite backup of data. ### 0.3 Relevance - User engagement and feedback: - Any user can attend the annual workshop on national accounts; NESDB uses workshop to promote user interest and discuss developments. - User feedback possible via NESDB website; regular meetings with main policy departments; NESDB undertakes regular user surveys via its publications. ### 0.4 Other quality management - Quality focus and monitoring: - Management is committed to data quality; supervisors and mentors promote quality issues; peer groups regularly review work processes. - Managers regularly monitor work processes; supervisors check team work; computer systems have built-in checks on data capture and processing. - Quality considerations are included in statistical program planning; computer system improvements made to save staff time without reducing output quality. ### 1. Assurances of integrity — Professionalism - Institutional independence and staffing: - The secretary-general of the NESDB reports directly to the prime minister to ensure noninterference from other agencies. - NESDB undertakes economic forecasting for the government as well as producing national accounts; working conditions ensure no interference, but these arrangements have not been formalized and published. - Recruitment: prospective employees must pass an entrance examination, meet qualifications and experience, and attend interviews; promotion based on aptitude; most training on-the-job; international training undertaken when possible. - Staff encouraged to publish; senior staff engaged in broadcasting activities. - Recommendations: - The NESDB should publish a statement on the independence of the national accounts system from their other responsibilities. - Editorial independence and misuse: - NESDB is free to decide sources, compilation techniques, and dissemination practices. - National accounts publications contain detailed commentaries; press briefing provided for quarterly GDP figures; NESDB can comment on erroneous interpretation or misuse, ranging from private letters to public statements by the secretary-general. ### 1.2 Transparency - Public information on production: - Quarterly national accounts publications and NESDB website contain information on terms and conditions under which statistics are produced. - Prerelease access: - No prerelease access to national accounts data by other government agencies as stated in SDDS metadata. - NESDB’s forecasting team has prerelease access to produce revised forecasts; this situation is not made public but is evident because revised forecasts are released at the same time as GDP figures. - Recommendation: The NESDB should publish details of the prerelease access to the national accounts data by their forecasting team. - Identification and advance notice: - NESDB publications are clearly identified with name and logo; reproduction requested to be similarly identified and stated on website. - Major changes to statistics are announced in advance in NESDB publications and on the website; minor changes are noted when introduced. ### 1.3 Ethical standards - Staff conduct guidance: - There is no internal written guidance on ethical standards; all civil servants are subject to general ethical standards and must sign an agreement on joining; staff are regularly reminded about obligations. ### 2. Methodological soundness — Concepts and definitions - Standards used: - The national accounts are broadly in line with the System of National Accounts 1968 (1968 SNA) and are in the process of being updated to the 1993 SNA, although this is not due to be completed until 2008. ### 2.2 Scope - Coverage versus international recommendations: - National accounts do not fully meet the tables and accounts ISWGNA has determined as a minimum requirement because NESDB has not fully implemented the 1993 SNA. - Published data: annual GDP from production and expenditure approaches at current and constant prices; value-added components at current prices produced annually. - A full set of accounts for the whole economy is not published; sector tables for government and nonprofit institutions serving households have been developed. - Quarterly GDP from both production and expenditure approaches at current and constant prices are published. - Annual supply and use tables (SUTS) are not produced; input-output (I-O) tables produced every five years. - Experimental annual SUTS produced: 67 industries and 97 products; being extended to 90 industries and 120 products. - GDP figures cover the whole economy—there are no free zones in Thailand. - Production boundary generally in line with 1968 SNA; 1993 SNA concepts already implemented for own-account production of goods for own final consumption and output of goods for own-account fixed-capital formation. - Asset boundary generally in line with 1968 SNA; 1993 SNA concept of defense-related assets usable for civilian purposes already implemented. - Recommendation: - The NESDB should expedite the conversion to the 1993 SNA, including the publication of all the recommended accounts and tables. ### 2.3 Classification/sectorization - Systems applied: - The 1968 SNA is followed to classify institutional units, transactions, and other flows. - ISIC, Rev. 3 and the Central Product Classification (CPC) are used for industries and products with country-specific adaptations. - COICOP and COFOG are used to classify household consumption and government expenditure, respectively. ### 2.4 Basis for recording - Valuation and exchange rate practice: - Valuation rules generally in accordance with the 1968 SNA. - Output figures are valued at full market prices (all taxes and subsidies allocated across industries); output for own use valued at equivalent market prices. - Thailand has a value-added tax system, but the deductible part is included in intermediate consumption and output. - Imports are valued c.i.f. in conformance with the 1968 SNA. - Figures are converted into baht using monthly average midpoint exchange rates. - Recommendation: - The output figures should be converted to basic prices. - Recording basis: - Transactions and flows are recorded on an accrual basis; work-in-progress is allocated to the period in which it is produced. - All government transactions are recorded on a cash basis; NESDB cannot convert all government figures to accrual basis. - The Ministry of Finance (MOF) is converting its accounts onto an accrual basis, but generally it will not be possible to apply this change back over time. - Taxes and subsidies could be converted by identifying the average period between accrual and payment. - Recommendation: - The NESDB should investigate to see if the cash figures for taxes and subsidies could be converted onto an accrual basis. - Grossing/netting: - Transactions between establishments within the same enterprise are recorded on a gross basis. *Summary extracted from Data Quality Assessment Framework (July 2003): Summary of Results for National Accounts* ### 3. Accuracy and reliability ### _cr06140 - 3. Accuracy and reliability ### 3.1 Source data - Source data are obtained from comprehensive data collection programs that take into account country-specific conditions. - NSO censuses: - Full censuses of all producers every 10 years. - Updated registers using registration data from the Ministry of Commerce and information from regional offices. - Sample surveys of businesses typically every two years, stratified by industry, region, and number of employees. - Interval samples within strata; sample size varies by group and is constrained by budget. - New survey questions are pilot-tested and introduced with user agreement, including NESDB. - For years without surveys and for quarterly data, NESDB uses alternative sources such as production data from the Ministry of Industry and VAT records. - Household data: - NSO Socioeconomic Survey (SES) of households every two years. - Sampling: sample of enumeration areas, then interval sample of households per area. - Nonrespondents are not replaced; sample size is made 20 percent higher to cover nonresponse. - Survey spreads areas over the year to capture seasonal changes; respondents recall expenditures (food previous week; other items up to a year). - SES covers households only (excludes institutional populations); whole of Thailand is covered. - NSO plans to run the SES every year and continuously throughout the year to generate reliable quarterly results. - Government and external data: - NESDB obtains central government data from MOF. - MOF is creating a system for local government data; currently NESDB gets aggregate local government data from the Ministry of the Interior. - Breakdown of local government components uses details from Bangkok Metropolitan Administration and NSO for other provinces and municipalities (accounts for about 65 percent of local government expenditure breakdown). - Local government accounts for about 15 percent of total general government expenditure. - Imports and exports of goods and services from BOP produced by Bank of Thailand (BOT). - Price and production detail: - CPI available to seven-digit level; PPI to three-digit level for use as deflators. - Production data available at comparable disaggregation for current and constant price compilation. - Ad hoc surveys and user contacts: - Ad hoc surveys can be undertaken. - Contacts maintained through annual NESDB workshop. Recommendations (from source): - The NSO should try to replace nonrespondents to the SES to avoid any bias in the results. - The plan to undertake the SES every year should be implemented to obtain more reliable quarterly figures for household final consumption. ### 3.1.2–3.1.3 Coverage and timeliness - Surveys meet the specified needs of the system; administrative records convert easily into required national accounts variables. - Coverage considered comprehensive; only known exclusions are illegal activities. - Respondents are informed of deadlines; occasional late responses are chased up and all data are obtained in time for inclusion in national accounts. ### 3.2 Assessment of source data - Sampling error: - Most data collected through censuses or nonrandom samples; sampling errors not relevant. - Nonsampling errors and quality controls: - Information available on identified nonsampling errors and survey operations. - Revisions to annual figures incorporated when available. - Computer programs perform comprehensive checks, including consistency with previous years and similar businesses. - Unusual values are checked with respondents and adjusted if necessary. ### 3.3 Statistical techniques - Processing and imputation: - Computer programs ensure no processing errors. - No unit-record adjustments without respondent checks. - Imputations for nonresponse based on average per employee of related establishments. - Data compared with similar businesses; unusual values queried. - Coverage of informal and excluded activities: - Informal activities coverage considered good via ten-year production censuses listing all businesses in each area, though businesses without fixed locations (e.g., street traders) may be missed and adjusted using available data. - Commodity flow techniques used in some cases (e.g., fruit and vegetables). - Illegal activities currently excluded; a project is under way to explore estimating their value (gambling is illegal and excluded). - Detailed compilation: - Output and intermediate consumption compiled at seven-digit product classification. - Gross fixed-capital formation and changes in inventories analyzed by same classification and by type of asset/inventory. - Extrapolation used for surveys run every two years; some ratios from five-yearly I-O tables used only for breakdown of intermediate consumption for deflation. - Imputed rent and work-in-progress: - Imputed rent of owner-occupied dwellings based on SES-reported values checked by enumerators against actual rent. - Work-in-progress recorded for all activities except agriculture due to harvest valuation difficulties. - Method for private forestry cultivation could create unintentional double counting: costs included as output each period while full value of felled trees would also be included when felled—potential overstatement; no timber has been felled yet. - Suggested practical treatment: either allocate timber value back over growing period in proportion to costs incurred, or subtract built-up costs from output when timber is felled. - Inventories and fixed capital: - Inventory figures used for all types are not adjusted for holding gains; NESDB needs to determine businesses’ valuation methods to decide if adjustments are necessary. - Consumption of fixed capital is calculated using the preferred perpetual inventory method. - No adjustments made to convert government cash data to accrual basis. - Deflation and price indices: - Double deflation method used for most industries: output based on quantities data or deflated by PPI/CPI components; intermediate consumption broken down using I-O ratios and deflated component-wise. - In some cases value added deflated directly (e.g., financial services used total CPI; recommendation to apply CPI to output rather than value added). - Taxes and subsidies not deflated because output and value added are at full market prices. - Trade margins broken down by product and correctly deflated when quantity data available using base-year margin rates; otherwise value added deflated by total CPI. - Base year issue: current base year is 1988 (described as very old); NESDB has an outside expert reviewing fixed base vs annual chain-linking; delays in updating figures due to difficulty finding stable base year and explaining chain-linking to users. - Expenditure components: - All components derived independently with detailed classifications. - Household final consumption and capital formation use NSO benchmark data (at most two to three years old). - Government final consumption excludes incidental sales. - Adjustments made for nonresidents’ expenditure in Thailand and residents’ expenditure abroad. - Deflators by component: - Household final consumption deflated with appropriate CPI components (implicit deflators consistent with CPI though weights differ). - Government final consumption deflated by implicit price index from production figures for government. - Gross fixed-capital formation uses appropriate PPI components. - Changes in inventories derived by deflating opening and closing levels with appropriate price indices. - Imports and exports: - Current price figures deflated using BOT price indices based on customs unit values; BOT removes outliers and takes a 12-month moving average due to erratic unit values. - Ministry of Commerce enterprise survey collecting prices directly from importers/exporters; NESDB found export price series more reliable than BOT series; when import price index available, these could be used to extend series (would create a break to be explained to users). - Existing deflators for services acceptable—using CPI components for export price movements from partner countries for imports. - Seasonal and quarterly treatment: - Quarterly figures adjusted to be consistent with annual totals using the Denton technique. - Compilation yields correct seasonally unadjusted estimates; constant price figures seasonally adjusted using X-12 technique. - Current price values are not seasonally adjusted. Recommendations (from source): - The NESDB should correct the treatment of work-in-progress for private forestry. - The NESDB should derive inventory valuation adjustments, if necessary. - The double-deflation method should be extended to all possible industries. - The base year for the constant price estimates needs to be updated as a matter of urgency. - Price indices from the enterprise survey run by the Ministry of Commerce should be used to deflate imports and exports of goods, as soon as they are both available. - The current price values for quarterly GDP should be seasonally adjusted, as are the constant price figures. ### 3.4 Assessment and validation of intermediate data and statistical outputs - Validation practices: - Source data used to compile national accounts are routinely checked against other available data. - Indicators used to extrapolate benchmark data are checked against NSO data when available. - Discrepancy handling: - Appropriate changes made when checks identify significant differences (different source or adjustments applied). - NESDB publishes series for the statistical discrepancy between production and expenditure estimates for GDP. - NESDB is developing annual SUTS to fully balance GDP figures and remove the statistical discrepancy. - Current system minimizes statistical discrepancy by using commodity flow techniques to remove supply-demand differences for problematic products. Recommendation (from source): - The NESDB should introduce annual SUTS as soon as possible. ### 3.5 Revision studies - NESDB regularly undertakes studies of revisions to its figures. - Direction and magnitude of revisions are assessed; alternative sources or adjustments used if necessary. - Results of revision studies are fully documented for internal control purposes. Recommendation (from source): - The results of revision studies should be published. ### 4 Serviceability - Periodicity and timeliness: - GDP estimates compiled quarterly, in line with the SDDS. - Quarterly estimates published on the first Monday of the third month following the end of the reference period (within the three months recommended in the SDDS). - Consistency: - NESDB publishes a separate series for the statistical discrepancy; usually less than 1 percent of total GDP for annual figures. - Constant price figures are fully consistent with equivalent current price values. - Quarterly estimates add up to annual versions for aggregated series where quarterly values are estimated. - NESDB maintains consistent annual GDP estimates back to 1951; quarterly series goes back to 1993. - Latest set of hard copy publications contains figures from 1996; full runs of data held on NESDB’s website. - Imports and exports identical to balance of payments values. - General government data reconcilable with government finance statistics (different disaggregations); NESDB uses other sources to break down local government figures. - Revision policy and practice: - Revision cycle stable and clearly stated in publications and on NESDB website. - Annual figures normally revised twice before becoming final. - Quarterly figures revised once in the following quarter, and again when new or revised annual figures are introduced. - NESDB explains reasons for revisions in publications; exceptional out-of-cycle revisions are shown and explained. - Preliminary figures are clearly marked as provisional in tables; revised values are not explicitly marked in tables (changes outside normal cycle are noted in text). Recommendation (from source): - The NESDB should consider if it would be more helpful to users to indicate revised figures in the data tables, rather than marking those that are provisional. - Publication of revision analyses: - Revisions are explained in publications, but formal analyses undertaken by NESDB are not published. Recommendation (from source): - The results of revision studies should be published. *Source: _cr06140 - 3. Accuracy and reliability* ### 5. Accessibility ### 5. Accessibility ### 5.1 Data accessibility - Presentation and layout - "The national accounts publications are well laid out with commentary, charts, and tables to meet the needs of all users." - Only an English version of the detailed commentary is included in the quarterly publication, while the annual publication includes an English version only of the executive summary. - "Tables containing different levels of detail are also included in the publications." - "Only constant price figures are shown seasonally adjusted, because the current price equivalents are not yet seasonally adjusted." - Recommendation: "Include an English version of the commentary in the annual national accounts publication." - Dissemination media and format - "The NESDB produces detailed annual and quarterly publications." - "Its quarterly press release is issued at the same time as the fuller quarterly publication." - It would be possible to produce the press release some days before the detailed quarterly publication and include the summary data on the NESDB’s website sooner. - Recommendation: "The quarterly GDP figures should be published as soon as possible." - Release schedule and simultaneity - "The publications are released to a preannounced schedule that is published a full year in advance. No publication misses this day, or time." - Data are available to all users at the same time via a press release, hard copy publications, and the NESDB website. - "A press conference takes place at the same time as the data are released." - Unpublished data on request - "More detailed unpublished breakdowns can be supplied free of charge, as long as they do not breach the confidentiality rules. However, this service is not advertised." - Recommendation: "Advertise the availability of more detailed breakdowns of data." ### 5.2 Metadata accessibility - Documentation and methodological guides - "Only a fairly short methodological guide on the quarterly GDP estimates is published, but this is in English as well as Thai." - "A more detailed guide is maintained, but only for internal use." - "The SDDS metadata are regularly updated and shown on the NESDB’s website." - Recommendation: "Publish a detailed methodological guide for national accounts." - Levels of detail for audiences - "The NESDB produces general publications about its operations, which cover national accounts." ### 5.3 Assistance to users - Contact points - "Specific contact points for each topic are given on the NESDB website but not in the hard copy publications." - Recommendation: "Include specific contact points for each topic in the hard copy publications." - Catalogs and service information - "A general catalog of publications is available on the NESDB’s website, and a full annual list is given in the quarterly publication." ### Table summary notes (from Table 1: Thailand: Data Quality Assessment Framework (July 2003)) - Accessibility-related comments drawn from the assessment: - "Availability of unpublished data is not advertised." - "Published guide could be more detailed." * _cr06140 - 5. Accessibility_ ### 1. Assurances of integrity ### 1. Assurances of integrity ### Professionalism - Statistics are produced on an impartial basis; no specific law supports professional independence but a general culture of professionalism is promoted in the FPO (and broader MOF) through seminars and informal arrangements. - Government finance statistics compilers in the FPO are committed to compiling statistics according to the methodology of the GFSM 2001 and are not influenced by fiscal policy analysis or other considerations. - All government finance statistics compilers have attended courses in government finance statistics organized by the IMF and/or internally organized by the FPO. - Recruitment practices: - A Recruitment Committee in the FPO is responsible for recruiting new staff. - Vacancies are advertised in newspapers, on the MOF and FPO websites, and on MOF and FPO bulletin boards. - Potential candidates undertake written tests and interviews to determine ability in macroeconomics and statistics. - Staff development: - Staff are encouraged to do research and analysis, and to participate in lectures and conferences. - Examples: publications in the “Fiscal Journal”; contributions on the FPO’s government finance statistics website; participation in the Collective Workshop on Capacity Building in Macroeconomic Statistics (July 26–28, 2004), Bangkok; a lecture to ASEAN member countries on “Application of GFS: Case Study of Thailand.” ### Transparency - Terms and conditions for data collection, processing, and dissemination are published on the FPO and MOF websites and are publicly available. - Internal governmental access prior to release: - There is no internal governmental access to government finance statistics data prior to their release. - This is publicly identified on the Data Standards Bulletin Board (DSBB) and on the MOF, FPO, and BOT websites where data are simultaneously released. - Products of statistical agencies/units are clearly identified as produced by the FPO in the Ministry of Finance of Thailand; data sources are identified where relevant. - Advance notice of major changes: - No major changes in methodology or source data have been necessary since introduction of GFSM 2001 methodology in 2000. - Policy is to inform users in advance should major changes occur. ### Ethical standards - FPO staff are guided by the code of conduct for public servants and the code of practice for compiling government finance statistics. - Both codes are provided on the MOF and FPO websites and are well-known to government finance statistics compilers. - The appropriate statistical entity (FPO) is entitled to comment on erroneous interpretation and misuse of statistics; FPO may comment and/or provide further explanations to users. - Measures to prevent misinterpretation/misuse: - The FPO’s government finance statistics website contains GFSM 2001 (translated into Thai), metadata on definitions and concepts, and data sources. - Monthly press releases and GFSM 2001 explanatory materials in the Fiscal Journal. - Government finance statistics seminars for MOF and news media; methodology and data explained at each press conference. ### 2. Methodological soundness ### Concepts and definitions - Monthly, quarterly, and annual government finance statistics are compiled and disseminated according to the GFSM 2001, following a Ministerial Regulation on the Organization of the Fiscal Policy Office Act, B.E. 2545 (2001), section 8, number 4 (2). - Objectives of reporting under the regulation: - (1) use in fiscal policy analysis in the MOF; and - (2) dissemination domestically and to the IMF for publication in the GFS Yearbook. - Migration to GFSM 2001: - Migration started in late 2000; official migration path adopted in 2003, updated to reflect implementation of accrual accounting by the Comptroller General’s Department (CGD) and the Government Finance Management Information System (GFMIS). - Migration plan, targets, and status/comments: - 1. Compile existing data according to the GFSM 2001. - Target Planned Target Dates: October 2002 - Status / Comments: Already implemented. Budgetary data are on a cash basis and include grants in kind. Extrabudgetary funds and social security funds data are on an accrual basis. Local government data are a mixture of cash and accruals. No balance sheet information other than debt is compiled. - 2. Compile mostly accrual data according to GFSM 2001, with more complete balance sheet information. - Target Planned Target Dates: March 2006, for FY2004/05 - Compile: - Statement of Government Operations (all accruals, except for local governments, which are mixture of cash and accruals) for general government and its subsectors; - A complete balance sheet for central government—financial assets and liabilities valued at market prices, nonfinancial assets valued at “net book value”; - Only transfers (grants) among government units will be consolidated—current with existing practices and in line with GFSM 2001. - 3. Expand and improve information in (2) above. - Target Planned Target Dates: March 2007, for FY 2005/06 - Compile: - Statement of Government Operations (all accruals, except for local governments, which are mixture of cash and accruals) for general government and its subsectors; - Statement of Source and Uses of Cash for central government (and its subsectors); - A complete balance sheet for central government—financial assets and liabilities valued at market prices, and nonfinancial assets valued at “net book value”; - Expand consolidation to interest and other intragovernmental transactions. - 4. Compile data on an accrual basis - Target Planned Target Dates: March 2010, for FY 2008/09 - Compile for all general government units (including local governments): - A complete balance sheet, with all assets and liabilities valued at market prices; - Statement of Other Economic Flows. - Debt statistics: - FPO compiles and disseminates monthly, quarterly, and annual debt data according to GFSM 2001. - Debt data are broken down by residency, as well as by maturity, holder, and instrument. - Government-guaranteed debt is shown separately as a memorandum item. ### Scope - Coverage is broadly consistent with internationally accepted standards. - Compiled and disseminated statistics cover: - the consolidated general government sector and all its subsectors; and - the consolidated nonfinancial public sector, thereby capturing quasi-fiscal activities carried out by nonfinancial public corporations in Thailand. - Definitions: - The nonfinancial public sector comprises units of the general government sector plus nonfinancial public corporations. - General government sector consists of central government and local government subsectors. - Central government subsector comprises budgetary central government, extrabudgetary funds and institutions, and two social security funds. - Operational coverage: - Monthly, quarterly, and annual consolidated central government data cover all central government operations (see 3.1.1). - Quarterly and annual general government data cover all central and local government operations (the latest two years of local government data are estimates). - Annual nonfinancial public sector data cover operations of all general government units and all nonfinancial public corporations. - Current gaps due to incomplete migration to GFSM 2001 and GFMIS: - Missing statements and stocks/flows: - the Statement of Sources and Uses of Cash; - the Statement of Other Economic Flows; and - financial and nonfinancial assets in the Balance Sheet. - Debt data: - Monthly, quarterly, and annual debt data compiled for consolidated central government sector (budgetary central government and all extrabudgetary funds)—in line with SDDS requirements—and for nonfinancial public corporations sector. - Debt data for local governments are not available; therefore no debt data for the consolidated general government sector are compiled or disseminated at this stage. - The two social security funds have no debt other than an immaterial amount of accounts payable; nonetheless, these data are not included in debt data currently compiled and disseminated. - Recommendations: - Compile all the GFSM 2001 statements and tables on all stocks and flows once the migration to the GFSM 2001 (including implementation of accrual accounting) has been completed. - Expand coverage of debt statistics to include social security funds and local governments. ### Classification/sectorization - Systems used are broadly consistent with internationally accepted standards (System of National Accounts, 1993). - Work coordinated with the National Economic and Social Development Board (NESDB) and BOT to ensure consistency among sectoral data. - Government finance statistics definitions follow GFSM 2001. - Specific classifications and practices: - Revenue: defined and classified according to GFSM 2001. - Expenditure: defined and classified according to GFSM 2001. Note: - “Expenditure” is not part of the main GFSM 2001 system but can be calculated as expense plus net acquisition of nonfinancial assets (Box 4.1 of GFSM 2001). - For cash-based data, consumption of fixed capital is excluded; acquisitions of inventories are recorded as expenses at purchase; net acquisition of nonfinancial assets equals purchases minus sales. - Extrabudgetary funds (accrual basis) include consumption of fixed capital (at historical cost), and inventories are recorded as expenses when used. - Nonfinancial assets received as grants-in-kind are included in all data. - An economic classification of expense and a Classification of Functions of Government (COFOG) are produced. - Financing (net acquisition of financial assets and net incurrence of liabilities): defined and classified by residency, instrument, and holder per GFSM 2001. - All main GFSM 2001 balancing items are defined according to GFSM 2001. - Because consumption of fixed capital is not yet available for all general government, only a gross operating balance is calculated; a supplementary analytical balance, the “overall fiscal balance,” is also compiled and disseminated. - Annual data: For general government sector and subsectors, all details in GFSM 2001 Statements and Tables in the IMF’s GFS Yearbook Questionnaire are compiled and disseminated domestically. - Monthly and quarterly data: cover the complete Statement of Government Operations. - Debt classification: - Monthly and quarterly debt data classified by residency, maturity, and holder (SDDS requirements). - Annual debt data classified by residency, instrument, and holder in accordance with GFSM 2001. ### Basis of recording - Valuation: - Flows are recorded at market prices. - Available stocks—currently only liabilities—are valued at face value. - Migration path indicates valuation at market prices will be implemented over the next few years—first for liabilities, then financial assets, and lastly for nonfinancial assets. - Foreign currency treatment: - Transactions in foreign currency converted to Thai baht using the midpoint exchange rate prevailing in the market at the time transactions take place. - Outstanding stock of debt converted from foreign currency to Thai baht using the midpoint exchange rate prevailing on the last working day of each month. - Recording basis status by sector/unit: - Budgetary central government: All data through 2003/04 are on a cash basis. Annual data from 2004/05 onwards will be on an accrual basis (available early-2006). Monthly and quarterly data for 2004/05 are on a cash basis. - Extrabudgetary central government units/entities: Data are on an accrual basis. - Social security fund: Data are on an accrual basis. - Local governments: Data for all local governments are on a cash basis, except the Bangkok Metropolitan Authority, which are on an accrual basis. - Nonfinancial public corporations: Data are on an accrual basis. - Recommendation: - Value all assets and liabilities at market prices and record all stocks and flows on an accrual basis once the migration to GFSM 2001 is completed. - Grossing/netting procedures: - Consistent with GFSM 2001: all transactions shown on a gross basis, except transactions in financial assets and liabilities. - Corrective transactions, such as refunds, are netted against the original transactions. *Source: _cr06140 - 1. Assurances of integrity* ### 3.1 Source data ### 3.1 Source data ### 3.1.1 Source data collection and systems - Source data are obtained from comprehensive data collection programs that take into account country-specific conditions. - A complete list of nonfinancial public sector units exists in the FPO and corresponds with lists used by macroeconomic statistics compilers in the BOT and NESDB. - Detailed bridge tables between the source data and the GFSM 2001 classification categories have been developed for all general government units; these bridge tables have been incorporated in the GFMIS, but the GFMIS is not yet fully operational. As a result, data are still bridged to the GFSM 2001 framework using Excel tables. - Administrative records and financial statements are used to compile government finance statistics in all cases except local governments. - Actual data from local governments’ financial statements are only available with a two-year lag. Local governments’ data for the latest two years are estimated by the FPO; these estimates are replaced with actual data when available. - No balance sheet data for local governments (including debt data) are currently available. - Introduction of accrual accounting, the new chart of accounts, and the GFMIS at the budgetary central government level in 2004/05 created teething problems in timeliness and availability of monthly and quarterly source data for budgetary central government and some extrabudgetary units. - Accrual accounting implemented at the budgetary central government level since October 2004 (2004/05 fiscal year), but accrual monthly and quarterly data cannot yet be produced from this system. The CGD uses the GFMIS source data and produces cash monthly and quarterly source data. The actual, annual 2004/05 source data for the budgetary central government will be on an accrual basis. - GFMIS will be expanded to “state enterprises” only in the coming year, so no monthly and quarterly data are available for seven extrabudgetary funds starting with the 2004/05 fiscal year. Previously these monthly and quarterly data were available through the CGD system, which was terminated six months after the introduction of the GFMIS (early 2005). Annual 2004/05 data will be available in yearly 2006 directly from these entities. - Expected outcome: once GFMIS is fully implemented (and accrual source data production issues resolved), and rolled out to include the “state enterprises,” source data for central government units will be obtained more efficiently and be more complete on an accrual basis. At a later stage, GFMIS implementation in local governments should significantly improve timeliness and availability of those source data. - The government finance statistics compilers in the FPO regularly consult with source data agencies—directly and through the GFS Committee. - Recommendation: Resolve problems with GFMIS so that monthly and quarterly accrual (and cash) source data can be produced for the budgetary central government. ### 3.1.2 Conformity with GFSM 2001 definitions and scope - Source data reasonably approximate the definitions, scope, classifications, valuation, and time of recording required by the GFSM 2001, with some exceptions. - Areas of conformity: - For all central government units, source data follow respective charts of accounts, based on IPSAS. - For annual central government data, source data are sufficiently detailed to allow detailed classifications according to the GFSM 2001. The new budgetary central government chart of accounts was developed in close collaboration with government finance statistics compilers to ensure enough detail for compilation and consolidation. - For quarterly and monthly data, available source data are sufficiently detailed to compile a complete Statement of Government Operations. - Actual annual source data for local governments (available with a two-year lag) do not follow IPSAS (except Bangkok Metropolitan Authority) but broadly approximate GFSM 2001 definitions and are sufficiently detailed to allow detailed classifications. Available monthly and quarterly source data are sufficiently detailed to compile reasonable estimates for local government operations (Statement of Government Operations). - Shortcomings due to incomplete migration to accrual accounting and GFMIS implementation problems: - Valuation and time of recording: - Budgetary central government and most local government source data are still on a cash basis—not accrual—and available stock data are valued at face value, not market value. - No information yet available to compile all GFSM 2001 statements and tables (e.g., a complete Balance Sheet and a Statement of Other Economic Flows). - Scope: - For 2004/05, monthly and quarterly source data for seven extrabudgetary funds are not available at all following GFMIS implementation in October 2004; these data will be available on an annual basis in January 2006. These monthly and quarterly data are likely to be unavailable for 2005/06 as well. - All source data, with the exception of some extrabudgetary funds and all social security funds, currently exclude stocks of nonfinancial and financial assets. - No source data currently available on local government debt; as a result, no total consolidated general government debt data are compiled. - For nonfinancial public corporations, available source data are on an accrual basis (following IPSAS) and sufficiently detailed to compile a complete Statement of Operations. - Detailed bridge tables exist between all source data and GFSM 2001 classifications; compilers are aware of differences and adjustment processes. Until GFMIS is fully functional, reclassifications are performed using Excel bridge tables. - Recommendations: - Explore ways to obtain monthly data for the seven extrabudgetary funds (for 2004/05 and 2005/06) so that monthly (and quarterly) time series for the consolidated central government are consistent and comparable with earlier data. - Explore ways to obtain source data on local government debt to compile and disseminate local government and total consolidated general government debt statistics. ### 3.1.3 Timeliness of source data - Generally, source data from all general government and nonfinancial public corporations are provided with sufficient timeliness and periodicity to meet dissemination needs covering the general government sector, its subsectors, and the nonfinancial public sector. - Current delays due to GFMIS and accrual accounting implementation: - Monthly source data are currently only available with a lag of about 30 to 40 days; normally monthly source data would be available about three weeks after the end of the reference month. - Actual source data on local governments’ operations are only available with a two-year lag, but source data used to estimate their operations have sufficient timeliness and periodicity to compile preliminary government finance statistics. - Through official correspondence from the FPO, all source data agencies are made aware of deadlines for data reporting and, through the GFS Committee, follow-up procedures ensure timely reporting. --- ### 3.2 Assessment of source data ### 3.2.1 Routine assessment and verification - Source data—including censuses, sample surveys, and administrative records—are routinely assessed for coverage, sample error, response error, and nonsampling error; results are monitored and made available to guide statistical processes. - The FPO uses internal, automated consistency checks to verify source data when reported. - Because the FPO is a source data user (not a compiler of source data), reported data are normally consistent and accurate, having been verified at administrative and accounting levels. - Source data are also verified against BOT data on central and local government financing. - Through the GFS Committee and direct contacts, the FPO has regular access to source data compilers to resolve issues or questions. --- ### 3.3 Statistical techniques ### 3.3.1 Compilation methods and estimates - Once GFMIS is fully functional, government finance statistics compilation will be almost completely automated for budgetary central government data. Meanwhile, compilation is done using Excel spreadsheets with built-in formulas for internal consistency (vertical and horizontal checks). - All data are corrected when more accurate data become available (preliminary data replaced with final data, with appropriate labeling). - Compilation procedures are described in detail in Thailand’s GFS: Information on Methodology, Data Coverage, and Compilation Practices (document posted on the MOF and FPO websites). - The only estimates currently employed are for the latest two years of local government data. Quarterly estimation methodology (annual data are sum of quarters): - Revenue: For each fiscal year, the Decentralization Act specifies the percentage of local government revenue in relation to budgetary central government revenue. Compilers estimate total local government revenue for the fiscal year based on this percentage, then apportion to each quarter based on the actual distribution of the Bangkok Metropolitan Authority’s revenues in each quarter. - Cash deficit/surplus and financing: Compilers obtain the “net claims of local governments on the banking system” from the BOT and use this amount to approximate total financing (equal to the cash deficit/surplus). - Expenditure (expense plus net acquisition of nonfinancial assets): Calculated as a residual (revenue minus the cash deficit/surplus). - Discrepancies among monthly/quarterly sums and annual data are investigated and resolved; no government finance statistics are published with unresolved discrepancies. ### 3.3.2 Other statistical procedures - Source data are transformed into GFSM 2001 classification codes and framework using bridge tables compiled with IMF technical assistance. - Most reclassifications will be automated through GFMIS once fully functional; currently reclassifications are done using Excel tables. - Data adjustments and transformations, including grossing/netting and consolidation adjustments, are in accordance with GFSM 2001. --- ### 3.4 Assessment and validation of intermediate data and outputs ### 3.4.1 Validation against other information - The FPO cross-checks all results—in particular financing data—with the BOT’s Data Management Department (DMD). ### 3.4.2 Investigation of statistical discrepancies - Through the GFS Committee, formal procedures exist to resolve data classification and sectorization issues within public sector statistics and across macroeconomic statistics. - Since only debt stock data for the consolidated central government are currently available, reconciliation between stocks and flows is only done for debt data. ### 3.4.3 Investigation of output problems - Built-in checks are used to cross-check statistical outputs vertically and horizontally. Discrepancies are resolved by (1) ensuring no data errors by the FPO and/or (2) contacting source data compilers. - Through the GFS Committee, fiscal discrepancies are regularly monitored, compared, and resolved among BOT, CGD, Budget Bureau, NESDB, PDMO, and other relevant macroeconomic data compilers. --- ### 3.5 Revision studies ### 3.5.1 Revisions analysis - Government finance statistics data are not subject to revisions except for replacing preliminary data with audited data. - For local governments, where latest two years’ data are estimated, the FPO carries out regular studies to improve these estimates internally and at GFS Committee meetings. - Example: local government estimates were first based only on extrapolation of the Bangkok Metropolitan Authority’s operations; this method has been improved as described in 3.3.1. --- ### 4 Serviceability ### 4.1 Periodicity and timeliness 4.1.1 Periodicity - Government finance statistics disseminated by the FPO follow SDDS requirements for periodicity: - Consolidated central government operations: Monthly data disseminated for the Statement of Government Operations, showing main aggregates and balances for central government and all its subsectors. - Consolidated general government operations: Quarterly and annual data disseminated for the Statement of Government Operations, showing main aggregates and balances for general government and all its subsectors. - Central government debt operations: Monthly, quarterly, and annual data disseminated covering outstanding debt of budgetary and extrabudgetary central government, as well as government guaranteed debt. Social security funds’ debt (consisting of an immaterial amount of accounts payable) are not currently included in debt statistics. Because local government debt data are not available, no general government debt data are currently compiled and disseminated. 4.1.2 Timeliness - Government finance statistics disseminated by the FPO follow SDDS requirements for timeliness, with the exception of monthly central government data: - Consolidated central government operations: From Thailand’s subscription to SDDS through November 2004, monthly data had been disseminated within one month after the end of the reference month. Owing to technical problems with GFMIS and automatic links with the newly implemented accrual accounting system, monthly central government data are only available about two months after the end of the reference month. As a result, monthly central government data have been disseminated about two months after the end of the reference month since December 2004. On Thailand’s SDDS National Summary Data Page (NSDP), a footnote to the fiscal data indicates current problems with compilation of monthly data owing to GFMIS implementation. - Consolidated general government operations: Quarterly and annual data are disseminated within one quarter and six months, respectively, after the end of the reference periods. - Central government debt operations: Debt data are disseminated two months after the end of the reference month.12 --- ### 4.2 Consistency 4.2.1 Internal consistency - Statistics are internally consistent: - Monthly data for consolidated central government (and subsectors) sum to quarterly data, which sum to preliminary annual data; quarterly data for consolidated general government (and subsectors) sum to preliminary annual data. - Preliminary annual data are replaced when final audited annual data are available. To ensure consistency between annual and quarterly data, the last (fiscal) month’s and fourth (fiscal) quarter’s data are adjusted accordingly. - Concepts, definitions, and classifications are identical across monthly, quarterly, and annual datasets. - Data sheets have built-in checks to ensure vertical and horizontal addition; statistical discrepancies are rare and very small. - For all data, net lending/borrowing in the Statement of Government Operations matches financing data (net acquisition of financial assets and net incurrence of liabilities). Sub-aggregates add to components where available. - The only stock data currently available are debt data; these are reconcilable with flow data in the Statement of Government Operations. 4.2.2 Reconciliation over time - Annual government finance statistics are available from 1990 onwards. - Data series from 1990 through 2000 were obtained by reclassifying cash-based GFSM 1986 data. Changes in economic trends and/or methodology (such as move from cash to accrual) are explained in footnotes to data tables. A detailed document on sources and methods—posted on the FPO’s website—explains relationships between GFSM 1986 and GFSM 2001 data and their comparability. - Monthly and quarterly government finance statistics are available from start of the 2001 fiscal year (from October 2000). 4.2.3 Consistency with other macroeconomic datasets - Government finance statistics are largely consistent with national accounts, balance of payments (BOP), and monetary and financial statistics due to extensive GFS Committee work to ensure consistent coverage, concepts, and definitions. - General government and nonfinancial public corporations’ external debt statistics compiled by the PDMO in the MOF (and disseminated by the FPO) are reconcilable with BOP statistics compiled and disseminated by the BOT. The only difference is treatment of government bonds issued abroad to nonresidents and subsequently bought by Thai residents in the secondary market. - Government finance and monetary and financial statistics are largely consistent. All local government financing data, and most central government financing data used by the FPO, are provided by the BOT. Small differences are being addressed to ensure complete coverage of central government accounts in financial corporations data. - Government finance and national accounts statistics are largely consistent: - For central government, NESDB uses the same CGD source data used by the FPO. - For local governments, NESDB uses a different method than the FPO to estimate details of the latest two years’ operations. The FPO’s estimates are based on BOT financing data; NESDB’s estimates are based on extrapolations of actual outcomes of two years ago. The FPO and NESDB cooperate closely through the GFS Committee. - A complete list of nonfinancial public sector units exists in the FPO and corresponds with lists used by BOT and NESDB compilers. *Source: _cr06140 - 3.1 Source data* ### 4.3 Revision policy and practice ### 4.3 Revision policy and practice ### 4.3.1 Revisions follow a regular and transparent schedule - Revisions to the data are generally limited to replacing preliminary data with actual data when they become available. - Preliminary data are disseminated first, and then replaced by actual data, according to the following schedule: - "Previously published monthly and quarterly data are revised on the last working day of the following month and quarter, respectively." - "Annual data are revised on the last working day six months after the end of the reference year." - By estimating missing data, the FPO avoids unnecessary delays in producing government finance statistics due to a small number of nonreporting agencies or undercounting when some agencies do not report in time for the “GFS reporting deadlines” (this does not occur frequently, though). - Once actual data are reported—usually the following month—these estimates are replaced with the actual data. - These revision policies are posted on the FPO’s government finance statistics website. ### 4.3.2 Preliminary and/or revised data are clearly identified - Users can clearly identify the nature of the data disseminated on the FPO and MOF websites: - Preliminary data are indicated with a “P” symbol; - estimated with an “E”; - and revisions with an “R.” ### 4.3.3 Studies and analyses of revisions are made public (see also 3.5.1) - Revisions primarily involve replacing preliminary data with final data or replacing estimates with actual (preliminary or final) data. - If such revisions are significant, they are explained in footnotes. - When the methodology of estimating local government data changes, this is explained in the detailed metadata posted on the FPO’s government finance statistics website. - Nonetheless, when estimated local government data are replaced with actual data, no analysis of differences between the revised and estimated data is published to allow an assessment of the reliability of the preliminary data. - Recommendation: - "Publish an assessment and/or analysis of the differences between the revised and preliminary data to allow users to assess the reliability of the preliminary data (especially the local government estimates)." *Source: _cr06140 - 4.3 Revision policy and practice* ### 0.3 Relevance ### _cr06140 - 0.3 Relevance ### 0.3 Relevance — monitoring and user engagement - Mechanisms are in place to gauge emerging needs and ensure statistics meet users’ current and prospective needs. - Meetings with policymakers to review monetary statistics occur when required; meetings with data users occur on a quarterly basis. - The BOT conducts users’ surveys every two years; the last survey was conducted in 2003. - Users' feedback is encouraged via publication of telephone numbers and e-mail addresses of each staff member responsible for the data. - Interaction with users yields high-volume feedback from students, academia, and other central banks; queries/requests are answered within three business days. - Data users in Thailand have been informed about the BOT’s ongoing efforts and plans to fully implement the MFSM. - BOT staff from the DMD attend international and regional statistical meetings, seminars, and training courses (IMF, ESCAP, SEACEN Training Institute). - The ongoing plan to fully implement the MFSM is part of efforts to meet a broad range of users’ needs. ### 0.4 Other quality management — quality focus and control - BOT awareness of high-quality statistics is evidenced by: - Subscription to the Special Data Dissemination Standards (SDDS) in August 1996. - Establishment of the BOT Data Management Committee and DMD in 2000. - The Data Management Committee, chaired by the Governor and including heads of Supervision, Monetary Policy, Financial Markets, Financial Institutions, and Information Technology Groups, formulates BOT statistical policy and monitors implementation. - The BOT DMS was completely overhauled in late 2003, including: - Design and implementation of new report forms for ODCs fully consistent with the MFSM. - Computerization of data collection and processing with embedded verification and validation procedures. - The BOT’s Statistical Code of Practice is organized around: relevance, integrity, quality, accessibility, confidentiality, and respondent burden; it guides qualitative assessments and internal audits. - Internal quality monitoring: - Internal Audit Department regularly audits the statistical process undertaken by the DMD and reports results directly to the Governor. - Financial Institutes Monitoring and Analysis Department conducts regular examinations of depository corporations’ data reporting practices in cooperation with the DMD. - In case of errors or nonreceipt of data, examiners and/or DMD staff contact reporting institutions informally or formally. - Quality planning: - Trade-offs among quality dimensions are recognized; accuracy is regarded as one of the most important dimensions. - Production of monetary statistics is being fully automated with checks and validations at different stages. - Ongoing efforts to fully computerize compilation aligned with the MFSM via expansion of the DMS to include data compilation and dissemination module; this module is expected to become fully operational by mid-2007, yielding efficiency gains to help manage trade-offs. ### 1. Assurances of integrity — Professionalism - Institutional independence and governance: - Pursuant to the Bank of Thailand Act, the MOF oversees overall affairs, with “general control and direction being entrusted to a Court of Directors.” - The Court of Directors comprises the Governor, the Deputy Governors (appointed by His Majesty the King as chairman and vice-chairmen, respectively), and at least five other members appointed by the Cabinet. - Tenure of the BOT Governor and management is not regulated by law; an amendment of the Bank of Thailand Act is under consideration to explicitly prohibit undue influence and pressure. - DMD independence and staffing: - The DMD is independent from other BOT operations (before April 17, 2000, it was part of the Economic Research Department). - The Head of the DMD is appointed by the Human Resources Committee and reports to the Assistant Governor for the Information Technology Group. - DMD staff feel free from undue influence or pressures in compiling statistics. - Recruitment and personnel policies consider professional and educational qualifications; promotions are primarily merit-based. - BOT staff must maintain integrity, honesty, and confidentiality; violations of the Code of Conduct and the Statistical Code of Practice are very rare and subject to strict penalties. - New staff attend relevant statistical courses and seminars; BOT library and Internet services provide access to research material. - A proactive “culture change” program and DMD cultural and social programs foster professionalism and cooperation with reporting financial institutions. - Internal meetings and external liaison: - Monetary statistics compilers regularly attend the Monthly Macroeconomic Meeting and Bimonthly Technical Meeting and occasional meetings with other statistical agencies (e.g., NESDB and the MOF); compilers must be ready to explain or clarify compiled monetary data. ### 1.1.2 and 1.1.3 — Statistical considerations and misuse response - Choices of sources and techniques are based solely on statistical considerations: - Monetary statistics are compiled from accounting records of financial institutions within the BOT’s reporting system; reporting forms designed to meet MFSM and bank supervision requirements. - Dissemination decisions are based on statistical considerations; timeliness and periodicity reflect SDDS requirements. - Users are informed of dissemination timetable of major aggregates via the Advance Release Calendar included in the SDDS metadata and detailed release schedule on the BOT website. - Handling of erroneous interpretation and misuse: - Communications and Relations Office coordinates with media; when misuse is detected, it informs and consults with the DMD. - DMD formulates comments and clarifications publicized via press conferences/releases attributed to the DMD. - The DMD provides explanations on compilation methodology in the Economic and Statistics Bulletin and in footnotes; courses/lectures on interpretation and use of statistics are provided regularly. ### 1.2 Transparency - Terms and conditions for statistics: - BOT disseminates terms and conditions on the Data Standards Bulletin Board (DSBB). - Copies of relevant laws and the Statistical Code of Practice are available on the BOT website and can be provided upon request. - BOT makes ongoing efforts to inform the public via press releases, meetings, lectures, and conferences; contact persons’ names and contact details are published in BOT Economic and Financial Statistics and on the website. - Internal governmental access: - There is no internal government access to the monetary statistics disseminated; the public is informed via DSBB metadata. - Identification of statistics products: - All BOT statistics publications are clearly identified as BOT publications with name, logo, and insignia; each data set identifies the original source. - BOT requests acknowledgement of source when its monetary statistics are reproduced. - Advance notice of methodological changes: - BOT provides advance notice to users through bulletins, briefings, and/or press releases when significant changes in methodology, sources, and techniques occur. - Users have been informed of ongoing significant changes in methodology of the monetary statistics to be disseminated soon; more detailed information will be provided before dissemination. ### 1.3 Ethical standards - Code of Conduct and Statistical Code of Practice: - BOT's Code of Conduct (in force since 1996) and the Statistical Code of Practice provide clear guidelines on behavior and adherence to objectivity. - New staff are made aware of guidelines on joining and are reminded periodically (e.g., annual performance reviews). - The public appreciates the image of BOT integrity and independence; strong culture for ethical and professional standards discourages political interference. ### 2. Methodological soundness — Concepts and definitions - Framework adherence: - The analytical framework for monetary statistics was substantially revised and fully adheres to MFSM guidelines. - Concepts and definitions largely follow the MFSM for identification of institutional units, instrument classification, and valuation of financial assets; deviations are reviewed in sections 2.2, 2.3, and 2.4. - Main aggregates: - The main monetary aggregate is broad money, which includes currency in circulation, transferable deposits, other deposits, certificates of deposits, and promissory notes held by the money holding sector (local government, other financial corporations, nonfinancial public enterprises, nonfinancial private enterprises, and other resident sectors in the depository corporations). - Detailed components of broad money are provided to allow users to construct narrow to broad money aggregates. - BOT also disseminates aggregates compiled under the Draft Guide to Money and Banking Statistics in International Financial Statistics for intertemporal consistency. - The framework measures monetary aggregates based on a combination of liquidity and institutional factors with a single delineation of money holding and money issuing sectors. ### 2.2 Scope — Depository Corporations Survey (DCS) - Institutional coverage: - For this assessment, scope refers to the Depository Corporations Survey (DCS), not the complete financial system. - According to MFSM, all resident corporations issuing deposits or deposit substitutes included in the national definition of broad money should be in the institutional coverage of the DCS. - In Thailand, institutional coverage includes domestic headquarters and all domestic branches. - As of October 2005, Thailand’s financial sector consists of: - (1) BOT, including the Exchange Equalization Fund (EEF); - (2) ODCs, comprising 33 commercial banks, 2 offshore banks, 14 finance companies, 5 credit foncier companies, 6 specialized financial institutions, and 1,551 savings cooperatives; - (3) other financial corporations (OFCs), comprising 77 insurance companies, 14 asset management companies, 556 pension and provident funds, 665 mutual funds, and 1 Financial Institutions Development Fund (FIDF). - Coverage specifics: - Central bank survey consolidates BOT and the EEF. - DCS covers financial institutions categories (1) and (2) except for the savings cooperatives. - Most mutual fund liabilities are illiquid or limited liquidity; all mutual funds are classified as OFCs. - Total liabilities of savings cooperatives and mutual funds that take deposit-like instruments represent less than 4 percent of total deposits in Thailand. - Expansion plans: - Coverage of ODCs subsector is being expanded to include saving cooperatives, expected to start reporting in 2007. - BOT plans to gradually expand scope to other financial corporations to compile and disseminate the Financial Corporations Survey (FCS) in the future, starting with insurance corporations. - Recommendation: - Include mutual funds that take deposit-like liabilities and savings cooperatives in the scope of the DCS. ### 2.3 Classification/sectorization - Sectorization: - Residents and nonresidents are first distinguished; resident units are grouped into mutually exclusive institutional sectors in accordance with the MFSM. - Deviations from MFSM sectorization are negligible (e.g., inclusion of pawnshops in the OFCs) and are being reviewed in the context of preparing a comprehensive register of institutional units in coordination with NESDB and the MOF. - Instrument classification: - Classification for financial instruments is based on liquidity and legal characteristics per the MFSM. - Except for financial derivatives (classified as off-balance sheet items under Thai accounting standards), classification is consistent with MFSM categories: (1) monetary gold and SDRs, (2) currency and deposits, (3) securities other than shares, (4) loans, (5) insurance technical reserves, and (6) shares and equity. - Repos are treated as collateralized loans (or deposits if repurchase agreements are included in broad money); repurchase and reverse repurchase agreements with nonresidents are classified as foreign liabilities and foreign assets, respectively. - BOT discloses monthly aggregate short and long positions in forwards and futures in foreign currencies vis-à-vis the domestic currency (including the forward leg of currency swaps) as required under the SDDS. - Gold swaps should be recorded as collateralized loans when they exchange monetary gold for cash; no gold swaps have been undertaken. - Recommendation: - To fully comply with the MFSM, monetary statistics need to be adjusted to include the financial derivatives which are presently recorded as off-balance sheet positions. *Source: _cr06140 - 0.3 Relevance* ### 2.4 Basis for recording ### 2.4 Basis for recording ### 2.4.1 Valuation principles and practices - Market prices or market-priced equivalents (fair values) are the general recommendation of the MFSM for valuation of financial assets and liabilities. - Exception: loans are registered at their book values (i.e., outstanding principal plus any accrued interest) without adjustment for expected loan losses. - Stocks and flows denominated in foreign currency are converted to national currency values at the market exchange rate prevailing at the time they are recorded. - Holding gains and losses arising from changes in market values (or fair values) of financial assets and of outstanding liabilities are recorded separately in a revaluation account. - BOT-specific valuation practices: - Monetary gold holdings are valued using the price of gold in the international market at the balance sheet closing date. - All financial corporations value foreign currency denominated accounts at the weighted average of the interbank exchange rates prevailing on the balance sheet closing date, calculated by the BOT. - Securities held for trading are valued at market or fair prices; securities held for investment are recorded at historical values (national accounting standard). - Holdings of securities issued by nonresidents and held for trading are valued at market prices using quotations on international markets; securities issued by residents and held for trading are valued at market price using quotations on the Stock Exchange of Thailand. In the absence of these quotations, securities are valued using the fair value method. - Valuation changes are reported in a separate item, as recommended. - Valuation principles of securities other than shares are regulated under BOT Notification No. 2837/2545, dated December 13, 2002, and the Thai Accounting Standards TAS 40. - Held-to-maturity securities are not adjusted to market prices (deviation from MFSM recommendation). - Loans are valued at current book value without adjustment for expected loan losses; expected loan losses are presented in a separate item, as recommended. - Financial derivatives, recorded as off-balance sheet positions, are valued at market prices or fair values based on internationally accepted valuation principles. Foreign currency denominated financial derivatives are converted into national currency at the weighted average of the interbank exchange rates prevailing on the balance sheet closing date, calculated by the BOT. - Changes in the value of financial derivatives are treated as holding gains/losses in the balance sheet as recommended in the MFSM. - Valuation principles of financial derivatives are regulated under BOT Notification No. 1974-2547, dated November 24, 2004. - Shares and other equity on the asset side are valued at market prices or fair values, except where no supporting market exists (then valued at cost). Shares and other equity on the liability side are valued at historical or book values, as recommended in the MFSM. - Supplementary data on the market values of such shares and other equity are presented as memorandum items attached to the Central Bank Survey and Other Depository Corporations Survey. - Flow data are not available at the moment and are expected to be compiled once the fully computerized information system is expanded to include the monetary statistics data module, expected for 2007. Aggregated data on revaluation changes are available. - Information identifying any departures from the International Accounting Standards (IAS) is disseminated on the BOT website and annotated in explanatory notes to the monetary statistics. - Recommendation: - Adjust the valuation of held-to-maturity securities to market or fair prices in the monetary statistics compiled. ### 2.4.2 Recording basis (accrual) - Recording is done on an accrual basis in line with MFSM recommendations: - Accrued interest on financial instruments should be incorporated into the outstanding amount of the financial asset/liability (not recorded under other accounts receivable/payable). - Revenues and expenditures should be recorded in the period in which they occur or fall due. - BOT and reporting institutions implement an accrual basis as regulated under BOT Notification on Accounting Procedures for the Accrual of Interest No. 2529–2541, dated December 24, 1998. - Interest overdue for payment will be included in the value of the loan portfolio for three months and, after that, is no longer accrued. - In the monetary statistics, interest is presented together with the underlying instrument, as recommended. - Arrears in the payment of fees or similar charges associated with off-balance-sheet financial instruments are included in accounts receivable/payable on the balance sheet of banks; the claim for overdue payments represents a financial asset even though the underlying off-balance-sheet instrument does not qualify as a financial asset. - Transactions are recorded when there is a change of ownership, on the basis of market prices at which assets and liabilities are bought and sold, and when new securities are issued and securities are redeemed. ### 2.4.3 Grossing and netting practices - Data are collected on a gross basis; claims on a particular transactor or group of transactions are not netted against liabilities to that transactor or group. - For the central bank subsector and ODCs subsector, data on financial assets and liabilities are aggregated into major categories according to types of debtors or creditors. Where net data are shown, gross subaggregates are also shown. - Flow data are not yet compiled. *Source: _cr06140 - 2.4 Basis for recording* ### 4.3 Revision policy and practice ### 4.3 Revision policy and practice ### 4.3.1 Revisions follow a regular and transparent schedule - The revision cycle is predetermined, stable, and announced to users through the BOT Economic and Financial Statistics and website. - The reason underlying the revision cycle (i.e., the availability of source data and the timing of revisions with related datasets) is explained to the public. ### 4.3.2 Preliminary and/or revised data are clearly identified - At time of data dissemination, users are informed whenever data are preliminary, which are clearly identified with a (P) sign. - Users are informed whenever data are revised with an (R) sign for revised data. - Revised data are disseminated with the same level of detail as previously published data being revised. ### 4.3.3 Studies and analyses of revisions are made public - The DMD analyzes revisions mainly to inform the statistical process. - Users are not informed of routine revisions to the data. - In rare cases when major revisions are made, users are informed about the reasons for the revisions to the monetary statistics through footnotes of tables published in the Economic and Financial Statistics and on the website. - Further details, including the analysis of differences between the revised and the preliminary data, are provided upon request. - Once the new module of the DMS is implemented, expected for 2007, revisions will be documented and explained in the electronic database accessible to users. ### 5 Accessibility ### 5.1 Data accessibility - Statistics are presented to facilitate proper interpretation and meaningful comparisons (layout and clarity of text, tables, and charts). - The printed copy of the Economic and Financial Statistics presents monetary statistics monthly data, including several tables on the monetary and credit aggregates, with their components, on a monthly basis for the last two years and on an annual basis for the last five years. - Monetary statistics are disseminated in Thai and English in a clear tabulated format. - Website dissemination includes time series available in excel files. - Charts for some monetary aggregates are available in the Economic and Financial Statistics. - A project is under way to upgrade the BOT website data retrieval tool with interactive capabilities to allow Internet users to convert tables into charts. - Dissemination media and format are adequate. - Dissemination media include (1) hard copies (monthly press release and the quarterly Economic and Financial Statistics), (2) BOT press conferences and announcements, and (3) the BOT website. - Parallel dissemination of two sets of monetary statistics is done on the BOT website and in a supplement to the Economic and Financial Statistics. - Users have free access to disseminated statistics via the library open to the public at the BOT headquarters; hard copy material can also be obtained from the Public Communications Office. - Statistics are released on a preannounced schedule. - An advance release calendar that gives one-quarter-ahead notice of the precise release dates is disseminated on the BOT Economic and Financial Statistics, its website, and the IMF’s Dissemination Standards Bulletin Board (http://dsbb.imf.org). - A statement to this effect is published in the BOT’s monthly Economic and Financial Statistics. - Statistics are made available to all users at the same time. - Monetary statistics are made available to all users simultaneously, as specified in the advance release calendar. - Information released at the end-month press conferences (monetary base and monetary aggregates) is posted on the BOT website immediately after the press conference. - Statistics not routinely disseminated are made available upon request. - Upon request, the BOT provides unpublished and nonconfidential data free of charge. - Contact details for the officer in charge of each dataset are published in the monthly Economic and Financial Statistics report and BOT website. - Customized tabulations are provided to meet specific needs of users. ### 5.2 Metadata accessibility - Documentation on concepts, scope, classifications, basis of recording, data sources, and statistical techniques is available; differences from internationally accepted standards, guidelines, or good practices are annotated. - Updated definitions, coverage, collection methods, and data sources are explained in the Economic and Financial Statistics, which includes key symbols, abbreviations and acronyms. - Comprehensive metadata are also disseminated on the IMF’s DSBB. - Detailed information comparing the Thai accounting standards and the IAS is posted on the ICAAT website (www.icaat.or.th) and can be accessed through a link to the BOT website. - Levels of detail are adapted to the needs of the intended audience. - Users are informed of compilation methods through explanations included in statistical reports and the BOT website, targeted to different audiences. - Training sessions for targeted groups (e.g., teachers, students, and media representatives) are supported with specially designed explanatory material. - The BOT website contains a section with periodic publications from BOT staff and outside experts (articles, technical notes, research papers). - Examples: a background paper on the need to adopt a new monetary aggregate, M2A, is available (Thai version only) in the “Report on Economic and Monetary Conditions,” May 2000, and on the BOT website; a paper entitled “Monetary Policy Implementation of the Bank of Thailand” is available (Thai version only) on the BOT website. - BOT publications (Inflation Report and the Economic and Financial Statistics) are routinely sent to universities and schools, distributed at seminars and conferences, and published on the BOT website. ### 5.3 Assistance to users - Contact points for each subject field are publicized. - Contact information (email addresses and telephone numbers) of compilers/analysts responsible for each data set is widely disseminated. - The DMD assists users in clarification of statistics by providing explanations of important concepts and terms in reports and as footnotes for each data table. - User surveys are conducted annually to gather feedback on data provision. - Catalogs of publications, documents, and other services, including information on any charges, are widely available. - BOT publishes statistical data via monthly press releases, Economic and Financial Statistics, the databank on the BOT website, quarterly and annual economic reports, and press conferences/releases. - A list of publications and schedule of dissemination is available on the BOT website; knowledgeable staff are available to assist users upon request. - To receive hard copies regularly, users can subscribe to the mailing list using the order form at the back of the quarterly statistical publications, or by direct request to the BOT. - The price list is available on the form, and users from overseas may make purchase orders. - Availability of the mailing list is publicized on the BOT’s website. ### Balance of Payments statistics — Prerequisites of quality (selected findings and recommendation) ### 0.1 Legal and institutional environment - The balance of payments (BOP) statistics for Thailand are compiled and disseminated by the Data Management Department (DMD) of the Bank of Thailand (BOT). - BOT operates under the Bank of Thailand Act B.E. 2485 (1942) and the Royal Decree Regulating the Affairs of the Bank of Thailand B.E. 2485 (1942). - Other relevant laws include the Exchange Control Act B.E. 2485 (1942), the Commercial Banking Act B.E. 2505 (1962), and the Act on the Authority concerning the International Monetary Fund and the International Bank for Reconstruction and Development B.E. 2494 (1951). - A Memorandum of Understanding between the Customs Department of the Ministry of Finance (MOF) and the BOT provides for reporting of import and export data by the Customs Department to the BOT. - Legal provisions do not explicitly mandate the BOT to compile and disseminate balance of payments statistics; BOT management views the mandate as implicit in other BOT duties. - The BOT has compiled balance of payments statistics for about 40 years; authority is not challenged in practice but is limited because it is derived from general central bank and exchange control legislation and is subject to erosion with further exchange control liberalization. - Recommendation: - Appropriate legal clarification should be sought that assigns responsibility to the BOT to compile and disseminate balance of payments statistics. - The legal clarification should empower the BOT to access any information through reasonable means for this purpose (e.g., through surveys of entities it does not otherwise have authority over, such as nonbank companies) and specify penalties for noncompliance with data requests. ### 0.1.2 Data sharing and coordination - Data sources for BOP compilation include licensed foreign exchange dealers (transactions reporting), MOF (Customs Department for trade in goods and Debt Management Office for official debt), the Ministry of Labor, and the Tourism Authority of Thailand. - DMD conducts surveys on debt and foreign assets and liabilities for compiling foreign debt and the international investment position (IIP). - Ad hoc information is sourced from entities such as Thai Airways International Public Co. Ltd. - Existing data-sharing arrangements with ministries and other data-producing agencies are adequate and work well; regular meetings maintain contacts to ensure understanding, avoid duplication, and consider respondent burden. - BOT provides BOP data to the National Economic and Social Development Board (NESDB) to support GDP compilation. ### 0.1.3 Confidentiality and statistical use - The Official Information Act B.E. 2540 (1997), Section 24, states individual responses are to be treated as confidential and used only for statistical purposes unless disclosure is agreed in writing by the respondent. - Respondents are informed that information provided will be used for producing statistics only. - Procedures prevent disclosure of individual residual data; access to individual data is restricted to staff who require it, and penalties apply to wrongful disclosure. - Safeguards apply to electronic data storage and access. - Compliance with non-disclosure procedures is regularly audited by the Internal Audit Department of the BOT. ### 0.1.4 Reporting mandate and response encouragement - Various laws (Exchange Control Act and Commercial Banking Act) and formal provisions (Exchange Regulations, Notifications, Circulars) mandate reporting of information used for BOP statistics. - Legal mandate for reporters is derived from legislation not primarily passed for statistical application, limiting reporting to foreign exchange transactions of licensed exchange dealers. - Transactions not passing through the International Transactions Reporting System (ITRS) are not fully captured; surveys are conducted on a voluntary basis. - The Survey Division of the DMD organizes annual seminars with data providers and achieves reasonably high response rates in external debt and IIP surveys; pilot surveys have been difficult to implement. - Recommendation: - The legal mandate of the BOT should include a provision entitling it to source data from any source, including surveys of private companies and individuals, to make development of new data sources easier. ### 0.2 Resources (selected) - The balance of payments team comprises 19 staff members, excluding input and survey-related staff. - Six staff members received training in balance of payments statistics at IMF courses and subsequently remained on the team. - Total staff numbers and capabilities are adequate for the present compilation system; more and differently qualified staff will be required if survey work is expanded. - Staff are assessed annually against a competency list; specific training needs are identified. - DMD has its own budget allocation for training (in-house and outside Thailand). - Financial resources are adequate; staff remuneration is competitive with comparable public sector positions. - Computer resources (hardware and software) are adequate and regularly updated; the DMD uses the DMS-ECON system integrating data compilation, tabulation, and dissemination with most tasks carried out automatically, including some data checks. - Physical facilities, office furniture, and equipment are adequate. - Measures to ensure efficient use of resources are implemented: - BOT programs are subject to budget considerations and performance assessments. - A BOT strategic plan aims to improve data management and organization efficiency. - Consistent concepts and methodologies are being implemented to ensure internal coordination among DMD teams. - Errors are minimized through automatic cross-checks and validation procedures. - Annual reviews of work process and budget execution are undertaken; specialized ad hoc reviews occur when needed. - Implementation of the DMS-ECON has contributed to enhanced efficiency, accuracy, and resource usage. - No specific provision exists to measure resources used to compile BOP statistics vis-à-vis those employed for other macroeconomic data produced by BOT, but resources used are monitored and budgeting practices help allocate resources to priority areas; operational audits aim to measure effectiveness. *Source: _cr06140 - 4.3 Revision policy and practice* ### 0.3 Relevance ### 0.3 Relevance ### 0.3.1 Monitoring relevance and practical utility - The DMD maintains a close dialogue with data users: - Holds monthly meetings with users of macroeconomic data (including government and private sector users). - Conducts a survey of data users every two years. - Data users are informed on balance of payments specifics through metadata in the Economic and Financial Statistics and the Special Data Dissemination Standards (SDDS) webpage. - Data publications identify a responsible staff member for each time series and encourage data users to send questions and comments. - The BOT commits to answering such queries within three working days. - Senior management in charge of balance of payments statistical compilation regularly participates in statistical meetings and seminars organized by international/regional organizations or by professional organizations. - Staff who work on compiling balance of payments statistics occasionally participate in statistical meetings and seminars. ### 0.4 Other quality management #### 0.4.1 Processes to focus on quality - BOT subscription to the SDDS in August 1996, and establishment of the BOT Data Management Committee and DMD in 2000, demonstrate commitment to high-quality statistics. - The Data Management Committee: - Chaired by the governor and includes heads of Supervision, Monetary Policy, Financial Markets, Financial Institutions, and Information Technology Groups. - Responsible for formulating BOT statistical policy and monitoring implementation. - Regularly reviews issues pertaining to data quality. - The Statistical Code of Practice emphasizes commitment to quality and integrity; key principles are organized around: relevance, integrity, quality, accessibility, confidentiality, and respondent burden. - Quality assurance practices: - Automatic data checks. - Probing unusual data developments. - Joint exploration of data quality issues with other compiling agencies. - Adequate quality awareness and quality assurance processes. #### 0.4.2 Processes to monitor statistical program quality - Reviews identify problems across collecting, processing, and disseminating stages. - Periodic users' surveys or other processes obtain feedback on data quality. - Input validation includes currency, amount, purpose of transaction, and other classification issues. - Consistency is ensured across datasets and plausibility is monitored. - Output monitoring covers public and banking sector data and high-value transactions of nonbank corporations. - Inquiries are submitted to involved institutions for doubtful transactions. - Internal training emphasizes quality dimensions. #### 0.4.3 Quality considerations in planning the statistical program - Management recognizes trade-offs among quality dimensions (e.g., timeliness vs accuracy/reliability). - Both quality and timeliness are considered, with accuracy given higher priority, although preliminary data are released in a timely fashion. - Trade-offs are communicated to users and their views are taken into account. - Meetings with internal data users (Monetary Policy Group) occur monthly to identify issues and obtain feedback. ### Key recommendations (quality management) - Continue and maintain processes that focus on data quality, validation, consistency checks, and user feedback mechanisms. - Ensure communication of trade-offs between timeliness and accuracy to users and continue monthly internal coordination with Monetary Policy Group. ### 1. Assurances of integrity ### 1.1 Professionalism #### 1.1.1 Impartial production of statistics - Governance and institutional arrangements: - Pursuant to the Bank of Thailand Act, the MOF oversees overall affairs of the BOT. - Tenure of the BOT Governor and management is not regulated by law. - An amendment of the Bank of Thailand Act is under consideration to explicitly provide that undue influence and pressure may not be exerted over the organization’s operations. - DMD independence and reporting: - The DMD is independent from the rest of BOT’s operations (before April 17, 2000, it was part of the Economic Research Department). - The head of the DMD is appointed by the Human Resources Committee, comprising the governor as chairman, deputy governors and assistant governors, and the senior director of the Human Resources Department. - The DMD head reports directly to the assistant governor of the Information Technology Group. - DMD staff feel free from undue influence or pressure from upper management and outside agencies. - Professionalism measures: - DMD code of practice addresses professional independence. - Violations of the Code of Conduct and the Statistical Code of Practice are very rare and subject to strict penalties. - Professional competency is key in recruitment and promotion. - Methodological papers, lectures, conferences, and training promote professionalism. - Formal and on-the-job training in balance of payments methodology is provided to all staff. - BOT library and Internet service provide access to research material. - Balance of payments statistics are compiled and disseminated independently; no interference occurs from other agencies or from BOT management. #### 1.1.2 Source and technique choices based on statistical considerations - Selection of best data sources (including ITRS, external debt and IIP surveys, Customs Department, other ministries) is based on data quality, availability, timeliness, cost, and data needs, guided by international standards (particularly the SDDS). - No interference from other agencies in choice of data sources and compilation methods. - Users are informed in advance of dissemination timetable of major aggregates through the Advance Release Calendar in SDDS metadata and of detailed data through the BOT’s schedule of release. - Decisions about timing, methods, and other dissemination aspects are based solely on statistical considerations without interference from other government agencies. #### 1.1.3 Right to comment on misuse and erroneous interpretation - BOT’s Communications and Relations Office coordinates with media and monitors financial press. - When erroneous interpretation and misuse are detected, Communications and Relations Office informs and consults with the DMD; the DMD formulates comments and clarifications and makes them public via Communications and Relations Office. - DMD provides explanations in the Economic and Statistics Bulletin (compilation methodology and footnotes) and offers courses/lectures to prevent misinterpretation (e.g., to media representatives, middle school teachers, and students). ### 1.2 Transparency #### 1.2.1 Terms and conditions publicly available - The BOT, through Communications and Relations Office and the DMD, informs the public about operational terms and conditions via press releases, meetings, lectures, and conferences. - Contact names, phone numbers, and mailing and e-mail addresses are published in the BOT Economic and Financial Statistics and on the website. - Metadata on DMD statistics and the Statistical Code of Practice are publicly available. - DMD engages in active outreach to educate the public about data availability, meaning, interpretation, and access, with a focus on Internet publication. #### 1.2.2 Internal governmental access prior to release - There is no internal government access prior to published release dates; this is clearly stated in SDDS metadata posted on the DSBB. #### 1.2.3 Products clearly identified - Data released are clearly identified as products of the DMD of the BOT. - A product catalog is available on the website and in the Economic and Financial Statistics. - The DMD requests attribution when its statistics are used or reproduced. #### 1.2.4 Advance notice of major changes - Announcements are made prior to release of data, including justifications for changes, details of new methodologies, and their impact on data series. - Information is available in press releases, printed publications, and through the website. - Online users are informed about updates and changes through pop-ups relevant to the specific series. ### 1.3 Ethical standards #### 1.3.1 Staff behavior guidelines - Clear guidelines include the Employee's Guideline Manual, Statistical Code of Practice for DMD staff, and the Code of Conduct for all BOT staff. - New staff are informed of guidelines on joining; training and seminars cover updates and reminders. - Guidelines address potential conflict-of-interest, misuse and misinterpretation of statistics, and private information. - Independence from political interference is strongly supported by BOT’s ethical guidelines. ### 2. Methodological soundness ### 2.1 Concepts and definitions #### 2.1.1 Conformity with international standards - Structure, concepts, and definitions follow the Balance of Payments Manual, fifth edition (BPM5) guidelines. - Double-entry system applied; statistical discrepancies recorded in errors and omissions. - Data distinguish between income and goods and services components in principle, but weaknesses in ITRS source data create difficulties separating income and service components related to short-term workers. - Financial account records transactions in foreign financial assets and liabilities separately. - Direct investment is recorded on a directional basis, but no record is made of reinvested earnings (although annual data on reinvested earnings are included in the IIP). - Resident institutional units defined in conformity with BPM5; the one-year rule is applied for residence status of individuals. - Compilation methods do not deviate from BPM5 concepts in principle, but weaknesses and deviations in classification arise from incompatibly classified raw data; effects are understood and under review by DMD staff. ### 2.2 Scope #### 2.2.1 Consistency with internationally accepted scope - Balance of payments statistics cover most transactions between residents and nonresidents. - Not covered: trade in goods not reported by customs, such as shuttle trade, Internet commerce, and smuggling; no adjustments are made for these. - For foreign trade data bypassing customs (trade in electricity with neighboring countries and military hardware), direct reports are received from relevant ministries and adjustments made. - Data on goods for processing, repairs on goods, purchase of computer software, and e-commerce transactions are difficult and costly to obtain; DMD management views these as not a priority. - ITRS covers cash transactions involving foreign exchange but: - Does not ensure that all reported transactions are between residents and nonresidents. - Does not ensure that all resident-nonresident transactions are reported. - Transactions not involving monetary flows through the Thai banking system will not be captured. - Foreign exchange regulations seek to ensure routing of balance of payments transactions through licensed foreign exchange dealers, but assurance is inadequate at present and will become weaker with further exchange control liberalization. - Data on services, income, and transfers largely obtained from ITRS are inadequate to ensure coverage of all resident-nonresident transactions (e.g., no information directly on compensation of employees (credit and debit) nor a sufficient proxy). - Only equity and reinvested earnings of the private nonbank sector are not reconciled with the IIP survey. - No data on reinvested earnings (nor the contra-entry in investment income) are presently disseminated in balance of payments statistics. Recommendations (scope): - The DMD should expand the scope of its balance of payments data to include all transactions between residents and nonresidents. This requires exploring data sources for unrecorded trade and ensuring better coverage in services, income, and transfers. - It should develop alternative data sources on services, income, and financial account items that are not at present reconciled with survey data. This requires data sourcing directly from transactors as well as enhanced and better coordinated surveys to cover all items related to foreign investment (including investment income and reinvested earnings). Estimates and proxies are preferable to omissions of relevant transactions from balance of payments data. ### 2.3 Classification/sectorization #### 2.3.1 Consistency with international classification - Institutional units and transaction classifications follow BPM5, with sectoral breakdown by transactor sector. - No separation of current and capital transfers; all transfers are classified as current. - Other classification problems arise from data sources, such as reporter classifications in the ITRS. - Deviations are kept under review. Recommendation (classification): - The DMD should develop methods to compile capital transfers separately from current transfers. Other data sources should complement ITRS data to allow adequate classification. Estimates and proxies may be used where necessary. ### 2.4 Basis for recording #### 2.4.1 Valuation at market prices - Market valuation principle from BPM5 is used. - When no market prices are observed, prices of similar transactions or best estimates are used as proxies. - Transaction values are reported separately from related charges, fees, and transaction services. - Transactions calculated from changes in stocks exclude valuation and other changes. - Import values are reported in customs data on a c.i.f. basis and adjusted to f.o.b. values (but balance of payments data published in the Economic and Financial Statistics and on the website value imports c.i.f.). - Barter trade is valued at approximated market prices obtained from the Customs Department. - Transactions between affiliated enterprises are recorded at the value provided by data providers. - Survey forms state procedures for market-value estimation where no actual market value is available. - Transactions in foreign currency are converted using the midpoint exchange rate on the transaction date; when date cannot be determined, the average midpoint exchange rate for the reporting month is used. - Transaction estimates derived from stock data are valued in original currencies and converted to domestic currency at the average exchange rate for the applicable period. - Deviations from classification systems are minor and kept under review. Recommendation (valuation): - The DMD should seek direct reporting of actual f.o.b. import values from the Customs Department. If these cannot be obtained, a frequent review of the benchmark values for freight and insurance should be conducted. #### 2.4.2 Accrual recording - Generally, accrual accounting is used for recording balance of payments transactions. - Items obtained solely from the ITRS are cash-based, but supplementary data such as surveys are used to allow adjustments and account for noncash transactions. - As a result, services (except travel receipts), income, and transfers are cash-based, as are equity and reinvested earnings of the private nonbank sector not reconciled with IIP survey data. - Overall, efforts are made to use the accrual principle. Recommendation (recording basis): - As new data sources become available, the DMD should continue to change items from cash to accrual accounting. #### 2.4.3 Grossing/netting procedures - Grossing and netting broadly follow international guidelines: - Current account transactions generally recorded on a gross basis. - Financial account transactions recorded on a net basis, separately for individual asset and liability components. - Deviations exist in several categories (services, income, transfers) where source data do not allow sufficiently detailed gross classification. - Transportation companies (airlines, freight, and shipping companies) do not report revenue and expenditure to the BOT; their net transactions as reported by the ITRS are included in the current account. - DMD plans to address weaknesses through additional data sources, in particular a services survey. Recommendations (grossing/netting): - Develop additional data sources on services (especially transport), income (labor), and transfers. - Request transportation companies (both Thai companies and branches of foreign companies in Thailand) to report on receipts and payments. - Estimate income of short-term and seasonal workers rather than relying on ITRS reporting. - Apply the same approach to transfers, in particular workers’ remittances. *Source: _cr06140 - 0.3 Relevance* ### 3. Accuracy and reliability ### 3. Accuracy and reliability ### 3.1 Source data - Source data are obtained from comprehensive data collection programs that take into account country-specific conditions. - Composition of data sources: - ITRS (main data source for services, income, transfers in the current account, and many financial account items not covered by surveys). - Selected surveys (annual IIP survey; quarterly external debt survey). - Direct reporting by government ministries, agencies, and public enterprises. - Limited reporting by private enterprises. - Supplemental data from Thai Airways International Public Co. Ltd. and the Tourism Authority of Thailand for services, income, and transfers. - Customs Department data on trade in goods supplemented by relevant ministries on direct imports. - Coverage limitations and gaps: - Almost all balance of payments items have data, exceptions include reinvested earnings and unrecorded trade. - Transactions routed through the banking system are well covered by the ITRS; transactions carried out by money transfer companies (such as Western Union) are not reported directly—only their net settlements are captured when sent through the banking system. - No current data sources or estimates for unrecorded trade (including shuttle trade and smuggling). - On items where ITRS is the sole source (e.g., some services, income, and parts of the financial account), accuracy and reliability are compromised because cross-checks are not possible. - ITRS reporting details: - Licensed foreign exchange dealers report aggregated transaction data classified by purpose, currency, and country for all transactions up to the threshold (US$20,000). - Itemized reporting above US$20,000 includes purpose, transactor, country, currency, and date. - Data are reported to the BOT daily, with a maximum lag of seven days. - Automatic IT system checks identify potential data problems prior to download. - Surveys: - Two main DMD surveys: annual IIP survey and quarterly external debt survey (focus on stock data, cover private nonbank sector; government and banking sector from MOF and banking sector sources). - Surveys are well planned with adequate sample frames; response rates are high (about 85 percent) for the two main surveys. - Data from IIP and external debt surveys support compilation of items not captured by the ITRS. - Recommendation (3.1.1): DMD should develop data sources to cover items where the ITRS is the only source to allow cross-checking of volume and classification, and develop data sources for unrecorded trade, including shuttle trade and smuggling. Estimates for these items probably exist in police reports or other studies. - Recommendation (3.1.2): Additional data sources are required to complement the ITRS where administrative foreign exchange data are an inadequate proxy for transactions, particularly for services, transfers, and financial account items. ### 3.2 Assessment of source data - Sampling and nonsampling assessment: - Sampling errors in the external debt and IIP surveys are probably small due to selection of sampling units. - External debt survey population list mainly derived from the ITRS; IIP survey list derived from Department of Business Development records and updated from other sources (ITRS, newspapers, etc.). - In external debt survey, all companies with recent debt transactions are surveyed; in IIP survey, all large contributors (accounting for more than 90 percent of direct investment liability) are included plus a random sample of smaller companies. - DMD monitors sampling and nonsampling errors; verification system in place to detect survey-form changes. - Data verification: - Survey responses are individually checked; inconsistent or implausible data are followed up with the reporter. - ITRS data are closely monitored; both automated and manual checks are employed, and transactions are verified with reporting banks as necessary. - ITRS transactions not of a balance of payments nature are not identified and therefore not canceled. - Other administrative and supplementary data are primarily monitored by the compiling agency, with DMD oversight and occasional questioning. ### 3.3 Statistical techniques - Data processing practices: - DMD employs automated data entry and processing, and data checks to minimize human error in entry, coding, editing, and tabulation. - Imputation and adjustments for nonresponse are limited because most data sources provide nearly complete coverage. - Missing observations are filled with precalculated proxy figures imputed from related observations with similar characteristics and size. - Benchmark and supplementary information are used appropriately. - Classification and reconciliation: - ITRS provides detailed breakdowns; unspecified items are minimal and, if necessary, classified under “other investment/other capital” or “other services.” - Annual stock data from the IIP and monthly balance of payments data are reconciled for major items. - Valuation and adjustment issues: - The value adjustment to f.o.b. prices for imports uses an older benchmark. - No adjustments are made to account for unrecorded trade and illicit activities. - A freight and insurance survey is being prepared to update the benchmark for estimating the freight and insurance component of imports valued c.i.f. - Recommendation (3.3.2): Benchmarks should be reviewed regularly, particularly for valuation adjustments to imports. Household data may be used to estimate the receipt of workers’ remittances. ### 3.4 Assessment and validation of intermediate data and outputs - Cross-checking and validation: - Intermediate results are cross-checked with related datasets and other data sources where applicable; however, numerous items lack alternative datasets and thus cannot be validated. - Reconciliation of the IIP and the financial account is undertaken, except for equity and reinvested earnings of the private nonbank sector. - All preliminary data are based on actual data, not estimates. - Discrepancy monitoring: - Related series are checked against each other (e.g., financial account vs. stock data; investment income vs. investment stock; trade data from ITRS vs. Customs). - Errors and omissions are monitored in size and direction to detect patterns and to flag missing or overstated transactions. - No reconciliation of bilateral data with major trading partners is made routinely; past reconciliations found differences due to concepts and compilation methods (e.g., time lags). - DMD investigated discrepancies between its external debt data and BIS data; differences in coverage identified as likely cause. - Recommendation (3.4.1): All data should be verified, and, where necessary, new data sources should be developed. - Commitment: DMD is committed to investigating any other significant discrepancies that may be found. ### 3.5 Revision studies - Revision practices: - Revision cycle determined by availability of revised source data; all BOP data are revised per a preset schedule published on the website and in Economic and Financial Statistics. - For debt liabilities, revisions are quarterly once quarterly external debt survey results are available. - For remaining items, revisions are made annually in September when revised trade data, travel receipts and payments, and IIP survey results become available. - ITRS data rarely require revisions. - No long-term trend of discrepancies between flow data (from stock surveys) and ITRS-based transaction data has been identified. - Monitoring and documentation: - DMD monitors direction and magnitude of revisions and studies effects on selected items and periods (including seasonal effects). - Documentation on major revisions is maintained with detailed information on causes. - Adjustments to data compilation are made based on revision-study findings for most items, except trade data (consistency across government agencies is prioritized). - Recommendation (3.5.1 / 4.3.3): DMD should consider appropriately adjusting preliminary data to minimize expected revisions, or alternatively publish the findings of its revision study. DMD should make the results of its revision study public. --- ### 4. Serviceability - 4.1 Periodicity and timeliness: - Dissemination meets and in part exceeds SDDS standards. - Summary data are published monthly and full BOP data quarterly; both disseminated on BOT website and Economic and Financial Statistics. - BOP statistics are disseminated within one quarter after the reference period. - 4.2 Consistency: - Concepts, definitions, and classifications are consistent across monthly, quarterly, and annual statistics; annual statistics sum quarterly statistics and are allocated appropriately. - Long-run net errors and omissions have been at an acceptable level (+/- 5 percent of trade volume). - Many financial account items are reconciled with IIP changes; a table detailing transactions, exchange rate effects, price effects, and other changes is disseminated regularly. - Time series consistency: for most items, consistent series are available for at least five years; source or methodology changes causing series breaks lead to historical reconstruction as far back as reasonably possible. - Detailed methodological notes and explanations of breaks/discontinuities are published; online users are alerted via pop-ups for affected series. - BOP trade in goods data are adjusted from Customs data to comply with BOP concepts; adjustments are documented and published. - BOP statistics are largely consistent with national accounts and monetary and financial statistics, with small exceptions (e.g., “government transfers” discrepancy under reconciliation with NESDB; securities issued abroad held by Thai residents recorded in BOP). - 4.3 Revision policy and practice: - Revisions follow a regular and transparent schedule: quarterly for debt liabilities; annual (September) for other financial account, merchandise trade, and service account items. - Footnotes explain revisions where applicable; significant methodological revisions announced in press releases. - Preliminary monthly current account data published with a lag of up to one month and two months for the financial account; preliminary data identified by a “P” superscript, removed when revised; unscheduled extraordinary revisions denoted by an “R” superscript and accompanied by explanations. - The schedule and revision policy are announced in Economic and Financial Statistics and on the DMD website. - Exceptional revisions outside the regular cycle are made if new data are significant and are publicized. ### 5. Accessibility - 5.1 Data accessibility and presentation: - BOP statistics are presented to facilitate interpretation and meaningful comparisons; published according to BPM5 standard components with time series and additional series as needed. - Charts and tables accompany data; most data downloadable from the DMD website; commentaries available via press releases and Economic and Financial Statistics. - International trade indices published in seasonally adjusted form. - Dissemination media and format: - Data available via press releases, monthly/quarterly/annual reports, and the DMD website. - Detailed datasets and trade indices available on the DMD website in Excel format. - Recently released data and longer time series accessible through an electronic database maintained by DMD. - Release schedule and equal access: - Release schedule preannounced on the DMD website; data published punctually on predetermined dates. - Data released simultaneously to all users; no prior access to BOP data by senior BOT management, government, or any other party not involved in compilation, verification, and dissemination. - Non-routinely disseminated statistics: - Unpublished (nonconfidential) specialized tabulations can be provided upon request; users informed of contact person, telephone number, and e-mail address for detailed information. *Source: _cr06140 - 3. Accuracy and reliability* ### 5.2 Metadata accessibility ### 5.2 Metadata accessibility ### 5.2.1 Documentation on concepts, scope, classifications, basis of recording, data sources, and statistical techniques - Documentation is available and differences from internationally accepted standards, guidelines, or good practices are annotated. - Balance of payments statistics metadata provide data users with adequate information about data sources and methods, pointing out limitations and deviations from international statistical guidelines. - Metadata are posted on the website and printed in the Economic and Financial Statistics. - SDDS summary methodologies are available from the SDDS website. - They are reviewed and updated regularly. ### 5.2.2 Levels of detail and outreach - Levels of detail are adapted to the needs of the intended audience. - General use information about the balance of payments and other external sector statistics is disseminated on the DMD website and in the Economic and Financial Statistics. - Different levels of detail are made available to meet users’ requirements. Specialized information is available from the same sources, including: - compilation methodology for trade indices, - articles on foreign direct investment, - survey methodology. - Outreach publications aimed at nonspecialist audiences are available from the BOT. - The DMD acts as an access point for users to obtain further information on statistics and their use and role in a modern economy. - Outreach efforts include: road shows at Money Expo and Red Cross fairs, billboards, a countrywide economic quiz and competition for secondary school students, libraries for schools in rural areas, and other initiatives for raising the awareness about economic data in the country. ### 5.3 Assistance to users #### 5.3.1 Contact points - The DMD publishes the names and contact information of staff responsible for each data series who can be contacted by mail, telephone, and email. - The DMD commits to responding to all requests within three working days. - The assistance provided to data users is regularly monitored through surveys of users. #### 5.3.2 Catalogs and availability - The DMD provides a list of publications, documents, and other services and updates it each year. - A list of publications is available from its website. - The prices of the statistical products and services are clearly disclosed, and assistance is provided in placing orders. - Most products are available at no cost through the DMD website. ### Key assessment findings (Table 4: Thailand: Data Quality Assessment Framework (July 2003): Summary of Results for Balance of Payments Statistics — Compiling Agency: Bank of Thailand) - Key to symbols: NA = Not Applicable; O = Practice Observed; LO = Practice Largely Observed; LNO = Practice Largely Not Observed; NO = Practice Not Observed; SDDS = Complies with SDDS Criteria. - 0.1 Legal and institutional environment: X — There is no legal mandate for BOP compilation. It is entirely based on general central bank and exchange control legislation. - 0.2 Resources: X - 0.3 Relevance: X - 0.4 Other quality management: X - 1.1 Professionalism: X - 1.2 Transparency: X - 1.3 Ethical standards: X - 2.1 Concepts and definitions: X - 2.2 Scope: X — The compilation process is built on foreign exchange controls. Conceptual independence from exchange controls needs to be developed. - 2.3 Classification/sectorization: X — There is no separation between current and capital transfers. Other classification problems arise from weaknesses in source data. - 2.4 Basis for recording: X — A mix of accrual and cash principles is employed. - 3.1 Source data: X — Source data is deficient owing to the reliance on the ITRS and the absence of secondary data in important areas, such as services, income, transfers, and parts of the financial account. New data sources need to be developed. - 3.2 Assessment of source data: X - 3.3 Statistical techniques: X - 3.4 Assessment and validation of intermediate data and statistical outputs: X - 3.5 Revision studies: X — Revision studies are carried out, but their results are neither used to improve all relevant data nor made public. - 4.1 Periodicity and timeliness: X - 4.2 Consistency: X - 4.3 Revision policy and practice: X — Revision studies are not made public. - 5.1 Data accessibility: X - 5.2 Metadata accessibility: X - 5.3 Assistance to users: X ### SDDS summary practices (Appendix I — summary) - Data dimension: dissemination of 18 data categories, including component detail, covering the four main sectors (real, fiscal, financial, and external) with prescribed periodicity and timeliness. - Access dimension: - dissemination of advance release calendars providing at least one-quarter advance notice of approximate release dates, and at least a one-week advance notice of the precise release dates; - simultaneous release of data to all users. - Integrity dimension: - dissemination of the terms and conditions under which official statistics are produced and disseminated; - identification of internal government access to data before release; - identification of ministerial commentary on the occasion of statistical release; - provision of information about revision and advance notice of major changes in methodology. - Quality dimension: - dissemination of documentation on statistical methodology and sources used in preparing statistics; - dissemination of component detail and/or additional data series that make possible cross-checks and checks of reasonableness. - SDDS subscribers are required to: - post descriptions of their data dissemination practices (metadata) on the IMF’s Dissemination Standards Bulletin Board (DSBB); summary methodologies are also disseminated on the DSBB; - maintain an Internet website, referred to as the National Summary Data Page (NSDP), which contains the actual data described in the metadata and to which the DSBB is electronically linked. - Monitoring by IMF staff is limited to the coverage, periodicity, and timeliness of the data and to the dissemination of advance release calendars. *Source: _cr06140 - 5.2 Metadata accessibility* --- _Source: https://www.imf.org/-/media/websites/imf/imported-full-text-pdf/external/pubs/ft/scr/2006/_cr06140.pdf_