## Data quality Assessment Framework July 2003—Summary of Results for Monetary Statistics (_cr07289) ## Source details **Canonical URL:** [Data quality Assessment Framework July 2003—Summary of Results for Monetary Statistics (_cr07289)](https://www.imf.org/-/media/websites/imf/imported-full-text-pdf/external/pubs/ft/scr/2007/_cr07289.pdf) ## Other formats - [Markdown version](/-/media/websites/imf/imported-full-text-pdf/external/pubs/ft/scr/2007/_cr07289.pdf.md) - [Structured JSON version](/-/media/websites/imf/imported-full-text-pdf/external/pubs/ft/scr/2007/_cr07289.pdf.json) --- ### I. Introduction — scope and mission - ECCB compiles monetary statistics for the ECCU area and individual ECCU member countries; Statistics Department (SD) established in December 2005 as single unit for national accounts, monetary and financial, fiscal, and balance of payments statistics. - Six member countries of the ECCU participate in the GDDS; Anguilla and Montserrat do not participate because they are not independent states. - Assessment based on information provided prior to and during a mission that visited Basseterre during April 10–20, 2007; does not reflect changes after end of April 2007. - Main shortcomings identified: - Methodological soundness: adopt internationally accepted concepts and definitions; expand institutional coverage; revise classifications of financial instruments; revise basis for recording. - Transparency: release monetary data to all users simultaneously; strengthen validation of disseminated data. - Timeliness: improve dissemination of broad money and credit aggregates to meet best international practices. - Accessibility: improve access to officially disseminated monetary data and metadata. ### II. Assessment by DQAF quality dimensions — high-level conclusions - Prerequisites of quality and assurances of integrity - Legislation broadly supports mandatory data reporting and confidentiality; ECCB’s responsibility for compiling and disseminating monetary statistics to the public is not clearly specified. - Staff resources for compiling monetary statistics are inadequate. - ECCB maintains some informal contact with data users but lacks structured periodic consultations and formal monitoring of users’ views. - No formal provisions for professional independence exist; independence in data processing is respected by member governments. - Terms and conditions for collection/compilation/dissemination are not provided to the public; data are released to the Ministry of Finance, commercial banks, and national statistical offices before public dissemination and this practice is not publicized. - Methodological soundness (key points) - Need to disseminate data on gross domestic credit. - Institutional coverage of Other Depository Corporations (ODCs) incomplete: mortgage companies, finance companies, building societies, and credit unions excluded. - Sectoral and instrument classification not in full compliance with the Monetary and Financial Statistics Manual (MFSM). - Basis for recording: accrued interest not incorporated in values of interest-bearing assets and liabilities; valuation adjustments included in other liabilities. - Accuracy and reliability - ECCB accounts source data adequately disaggregated; commercial banks’ source data lack MFSM-recommended disaggregation. - Validation procedures for intermediate and final data are adequate. - Serviceability - Periodicity appropriate; timeliness satisfactory for ECCB and individual member countries but ECCU broad money and credit aggregates not timely per GDDS recommendations. - Monetary statistics reconcilable over disseminated periods, but inconsistencies exist between commercial banks’ accounts and central bank/interbank positions. - Revision policy/practices need documentation and public dissemination; studies and analyses of revisions not disseminated. - Accessibility - Improvements needed: adopt an advance release calendar; improve presentation in publications and on ECCB website. - Metadata on monetary statistics very limited. - Unpublished nonconfidential data available upon request; assistance to users and contact points publicized; list of ECCB publications available on ECCB website. ### III. User survey — summary results - Questionnaires sent to 51 users; 21 responses returned (41 percent). - Average user rating for overall quality on 1–5 scale: 3.3. - Selected user-response statistics: - 76 percent indicated they can easily access official monetary statistics and felt statistics are unbiased and accurate. - 71 percent indicated satisfaction with coverage of monetary statistics. - 33 percent considered monetary statistics disseminated with appropriate timeliness. - 76 percent primarily use the website to obtain monetary statistics. - 43 percent indicated easy access to explanatory notes/methodological descriptions. - 29 percent were satisfied with information on revisions. ### IV. DQAF element ratings — key element assessments - Key to symbols: NA = Not Applicable; O = Practice Observed; LO = Practice Largely Observed; LNO = Practice Largely Not Observed; NO = Practice Not Observed. - Selected element ratings (as assessed): - 0.1 Legal and institutional environment: LO - 0.2 Resources: LO - 0.3 Relevance: LO - 0.4 Other quality management: LO - 1.1 Professionalism: O - 1.2 Transparency: LO - 2.1 Concepts and definitions: LO - 2.2 Scope: LO - 2.3 Classification/sectorization: LO - 2.4 Basis for recording: LO - 3.1 Source data: LO - 3.2 Assessment of source data: O - 3.3 Statistical techniques: O - 3.4 Assessment and validation of intermediate data and outputs: O - 3.5 Revision studies: O - 4.1 Periodicity and timeliness: LO - 4.2 Consistency: LO - 4.3 Revision policy and practice: LNO - 5.1 Data accessibility: LO - 5.2 Metadata accessibility: LO - 5.3 Assistance to users: O ### V. Specific factual findings and key statistics - Statistics Department (SD) established: December 2005. - Mission visit dates: April 10–20, 2007; assessment excludes changes after end of April 2007. - User survey response: 21 of 51 targeted users. - Average user-rating for overall quality (1–5 scale): 3.3. - Deposits accepted by financial institutions other than commercial banks account for more than 7 percent of total deposits accepted by the commercial banks (as of end-2006). - Timeliness shortfall: ECCU broad money and credit aggregates released to public four to five months after the reference month. - Metadata posted in the DSBB have not been updated since August 2003. - Institutional coverage (as of end-March 2007): ECCB plus 39 active commercial banks (including 14 branches of foreign banks); RBTT branch treatment note applies. - Other financial corporations operating in ECCU (as of end-March 2007): six finance companies, eight mortgage companies, four building societies, and 65 credit unions. - As of end-2006, deposits accepted by finance companies, mortgage companies, and credit unions represented about 7 percent of national-currency deposits accepted by commercial banks. ### VI. Recommendations — principal areas for improvement - Legal and governance - Clarify and publicly specify the ECCB’s legal responsibility for compiling and disseminating monetary statistics (seek to define in the Eastern Caribbean Central Bank Agreement Act). - Prepare a statistical code of practice outlining responsibilities and standards. - Resources and capacity - Increase staff resources; mission recommends allocation of about three new staff to the Monetary and Financial Unit of the SD. - Provide formal and on-the-job training; strengthen staff skills through ongoing training and attachments (internal training by Bank Supervision Department and Accounting Department; attendance at Monetary and Financial Statistics course in July 2007; IMF attachment scheduled for September 2007). - Develop a system for electronic transfer of financial data. - Coverage, classification, and compilation - Extend institutional coverage to include mortgage companies, finance companies, building societies, and credit unions; disseminate data on gross domestic credit. - Align sectoral and instrument classifications and accounting bases with the MFSM, including incorporating accrued interest into values of interest-bearing assets and liabilities and removing valuation adjustments from other liabilities. - Implement new call report forms for commercial banks; new call report forms to be implemented by June 2008. - Disseminate monetary statistics in MFSM-recommended survey formats (central bank survey, other depository corporations survey, and depository corporations survey). - Quality assurance and validation - Strengthen quality monitoring, data verification, and validation procedures prior to dissemination of final aggregates. - Improve verification procedures to ensure consistency among corresponding accounts of the ECCB and commercial banks; establish consistency checks for interbank positions. - Timeliness, revisions, and transparency - Improve timeliness of ECCU-wide broad money and credit aggregates to accord with GDDS recommendations (reduce current four to five month lag). - Document and disseminate a revisions policy and practice; provide studies and analyses of data revisions to the public. - Publicize terms and conditions for collection, compilation, and dissemination; eliminate pre-release practices not publicized. - Adopt an advance release calendar and post dissemination schedule with specific dates on ECCB website (Statistics link and revision policy/data release calendar to be on ECCB website by December 2007). - GDDS metadata to be updated in September 2007; a metadata page to be placed on ECCB website. - User engagement and dissemination - Establish structured and periodic consultations with external data users; undertake periodic surveys of users. - Disseminate monetary data to all users simultaneously (monthly monetary statistics currently uploaded on website at same time they are disseminated to IMF and Ministries of Finance). - Improve presentation of data and metadata on ECCB website; make more detailed data available and consider seasonally adjusted aggregates. ### VII. Short-term and medium-term planned actions (authorities’ response and action plan) - Short-term planned actions (selected) - Allocate about three new staff to Monetary and Financial Unit. - Implement outstanding IMF technical assistance recommendations and introduce new call report forms by June 2008. - Expand institutional coverage of ODCs; coordinate with national Single Regulatory Units (SRUs); SRUs anticipated fully functional by end of 2007. - Disseminate monetary statistics in MFSM survey formats and adopt MFSM-consistent classification. - Disseminate monetary data to all users simultaneously; monthly monetary statistics uploaded on website at same time as IMF and Ministries of Finance. - Establish structured periodic consultations with external data users; undertake periodic user surveys. - Improve verification procedures; train staff in IMF SRFs and develop links between SRFs and call forms. - Post dissemination schedule and revision policy on ECCB website by December 2007; GDDS metadata update planned for September 2007. - Medium-term planned actions (selected) - Establish a policy for a periodic revision cycle and dissemination of explanations for revisions to the public. - Seek legislative clarification of ECCB responsibilities for compiling and disseminating statistics. - Prepare a statistical code of practice. - Strengthen staff skills via ongoing training and attachments; internal training and IMF/CARTAC assistance noted. - Develop electronic transfer system for financial data. - Technical assistance needs identified for 2008 - Verify compilation of MFSM-compliant monetary statistics from new source data. - Assist in preparation of a survey for mortgage and finance companies and a combined survey for commercial banks, mortgage and finance companies. - Assist in classification and compilation of data from other non-bank financial institutions. ### VIII. Methodological soundness — specific compilation and recording practices - Conceptual framework broadly in line with MFSM; ECCB uses a Monetary Survey (consolidating ECCB and commercial banks) rather than Depository Corporations Survey for ECCU and member countries. - Monetary aggregates compiled and disseminated: - M1: currency in circulation (ECCB notes and coins in circulation) minus cash at commercial banks (ECCB notes and coins) plus demand deposits of the private sector in EC dollars. - M2 (broad money): M1 plus savings and time deposits of the private sector in EC dollars and foreign currency deposits of the private sector. - Treatment of residency and consolidation: - ECCU-wide aggregates consolidate interbank positions as if entire ECCU were a single country; member-country aggregates consolidate within territory and treat inter-country interbank positions as foreign assets/liabilities. - Capital accounts of the ECCB attributed to member countries are imputed for compiling central banks’ aggregates for individual member countries. - Basis for recording and valuation: - Financial assets traded in markets valued at market prices; nonregularly traded instruments at fair value. - Loans valued at book value without adjustment for provisions; valuation adjustments included in other liabilities and not separately identified. - All stocks and flows denominated in foreign currencies translated at official rate pegged at EC$2.70 to US$1.00. - Accounts recorded on accrual basis, but accrued interest is not incorporated into outstanding amounts of interest-bearing instruments; interest accrued recorded under other assets and other liabilities. - Netting/grossing issues: - Credit to sectors other than central government and private sector presented on net basis; MFSM recommends gross presentation except for specified exceptions; current netting underestimates total credit extended to some sectors. ### IX. Source data, compilation, and timeliness - Source data: - ECCB monthly financial statement and supplementary information from Accounting Department (AD). - Call report forms and supplementary forms from commercial banks; call report forms slightly modified in 2003. - ECCB accounting records broadly sufficient for classification but lack full disaggregation by currency and some instrument/sector detail. - Commercial bank call reports do not fully identify positions in shares/equities and financial derivatives or sufficient interbank breakdown. - Timeliness of source data delivery: - Supplementary country breakdown data available to SD within about one week after reference month. - ECCB financial statement available to SD in about four weeks after reference month. - Commercial banks’ source data submitted usually not later than 14 working days after reference period as required by Banking Act. - ECCU monetary data posting: ECCB survey and country monetary data posted approximately five to six weeks after reference month; ECCU broad money and credit aggregates disseminated about four to five months after reference month. - Data processing and validation: - Source data provided in Excel with cross-checking equations; automated statistical techniques and macros used. - In case of late or missing data, estimates made by carry-forward or extrapolation. - SD validates source data and investigates discrepancies; flows not compiled so stock-flow reconciliation not possible. - No routine routine revision studies; ad hoc investigations not published. ### X. Consistency and revisions - Consistency findings: - Central banks’ claims/liabilities vis-à-vis commercial banks and commercial banks’ claims/liabilities vis-à-vis central banks occasionally inconsistent. - Flow data not compiled; stock-flow reconciliation not possible (monetary aggregates not reconcilable with flow of funds instrument aggregates; credit aggregates not reconcilable with flow of funds debt aggregates). - Commercial banks’ interbank positions show discrepancies in data reported to IMF. - Time series availability: - Monetary Surveys for ECCU and member countries: most recent six quarters available. - Accounts of ECCB and commercial banks: monthly data past 21 months; quarterly data one year; annual data 17 years. - Revision policy and practice: - No formal revision policy; accounting data deemed final but revisions occur when new/revised data provided to SD (in practice usually in following month). - Monetary Surveys and accounts denote preliminary “P” and revised “R”; users not informed why preliminary data are published. - SD drafting a revision policy and expects to announce in 2007. - No routine public studies/analyses of revisions. ### XI. Accessibility and metadata - Presentation and dissemination: - Monetary Survey and explanatory notes facilitate interpretation; Economic and Financial Review elaborates on developments and includes balance-sheet accounts. - Central Bank Survey format used for ECCB accounts; other monetary data not presented in ODC Survey or Depository Corporations Survey formats. - Monetary Survey and accounts disseminated in publications and posted on ECCB website in PDF; current PDF time series not downloadable as data series. - Release schedule and equal access: - ECCB posts periodicity of publications but does not preannounce specific dissemination dates; preparing a calendar to be posted on website. - No formal public procedure to announce data release; monetary statistics released simultaneously to Ministry of Finance, national statistical offices, and commercial banks before public dissemination; public availability quarterly via publications and website posting. - Metadata accessibility: - Economic and Financial Review and Financial Statistics Yearbook provide short descriptions but not full documentation on framework, concepts, scope, accounting conventions, data sources, and compilation practices. - No documentation of differences from internationally accepted standards publicly available. - DSBB metadata not updated since August 2003; GDDS metadata update planned for September 2007. - Assistance to users: - Prompt and knowledgeable service available; contact information published; SD internal guideline targets five working days response time. - Unpublished nonconfidential data available free upon request; procedures not publicized. - List of periodic publications available on ECCB website; prices for statistical products/services not disclosed. *Summary derived from: _cr07289 - 1. Data quality Assessment Framework July 2003—Summary of Results for Monetary Statistics (assessment conducted April 10–20, 2007).* ### 1. Data quality Assessment Framework July 2003—Summary of Results for Monetary ### 1. Data quality Assessment Framework July 2003—Summary of Results for Monetary Statistics ### I. Introduction — scope and mission - The ECCB compiles monetary statistics for the ECCU area and individual ECCU member countries; the Statistics Department (SD) was established in December 2005 as a single unit responsible for national accounts, monetary and financial, fiscal, and balance of payments statistics. - Six member countries of the ECCU participate in the GDDS; Anguilla and Montserrat do not participate because they are not independent states. - The assessment is based on information provided prior to and during a mission that visited Basseterre during April 10–20, 2007, and does not reflect changes after end of April 2007. - Main shortcomings identified: - Methodological soundness can be improved by adopting internationally accepted concepts and definitions, expanding institutional coverage, revising classifications of financial instruments, and revising the basis for recording. - Transparency can be improved by releasing monetary data to all users at the same time and strengthening validation of disseminated data. - Timeliness of dissemination of broad money and credit aggregates can be improved to meet best international practices. - Access to officially disseminated monetary data and metadata can be improved. ### II. Assessment by DQAF quality dimension — high-level conclusions - Prerequisites of quality and assurances of integrity - Legislation broadly supports mandatory data reporting and confidentiality, but the ECCB’s responsibility for compiling and disseminating monetary statistics to the public is not clearly specified. - Staff resources for compiling monetary statistics are inadequate. - The ECCB maintains some informal contact with data users but does not formally monitor users’ views or identify emerging external data requirements. - No formal provisions for professional independence exist, but independence in data processing is respected by member governments. - Terms and conditions for collection/compilation/dissemination are not provided to the public; data are released to the Ministry of Finance, commercial banks, and national statistical offices before public dissemination, and this practice is not publicized. - Methodological soundness - Improve concepts and definitions by disseminating data on gross domestic credit. - Institutional coverage of Other Depository Corporations (ODCs) is incomplete: mortgage companies, finance companies, building societies, and credit unions are excluded. - Sectoral and instrument classification are not in full compliance with the Monetary and Financial Statistics Manual (MFSM). - Basis for recording: generally complies with MFSM recommendations, but accrued interest is not incorporated in the value of interest-bearing assets and liabilities; valuation adjustments are included in other liabilities. - Accuracy and reliability - Source data on ECCB accounts are adequately disaggregated; source data for commercial banks lack MFSM-recommended disaggregation. - Validation of source data, statistical techniques, and procedures for validating intermediate and final data are adequate. - Serviceability - Periodicity is appropriate; timeliness is satisfactory for ECCB and individual member countries but timeliness for ECCU broad money and credit aggregates does not accord with GDDS recommendations. - Monetary statistics are reconcilable over disseminated periods, but inconsistencies exist in commercial banks’ accounts vis-à-vis the central bank and interbank positions. - Revision policy and practices need documentation and public dissemination; studies and analyses of revisions are not disseminated. - Accessibility - Opportunities to improve accessibility include adopting an advance release calendar and improving presentation in publications and on the ECCB website. - Metadata on monetary statistics are very limited. - Unpublished nonconfidential data are available upon request; assistance to users and contact points are publicized; a list of ECCB publications is available on the ECCB website. ### III. User survey — summary results - 21 of 51 targeted users returned questionnaires. - On a five point scale (1 = poor and 5 = excellent), the average rating for overall quality of monetary statistics was 3.3. - Majority views: - Monetary statistics are generally accessible and perceived as unbiased and accurate. - Some respondents satisfied with coverage and periodicity; others recommended expansion to include credit unions and insurance companies. - Respondents indicated timeliness needs improvement and recommended dissemination of an advance release calendar. ### IV. DQAF element ratings — key points from Tables - Key to symbols: NA = Not Applicable; O = Practice Observed; LO = Practice Largely Observed; LNO = Practice Largely Not Observed; NO = Practice Not Observed. - Selected element assessments and comments: - 0.1 Legal and institutional environment: LO — The ECCB’s responsibility for compiling and disseminating monetary statistics to the public is not clearly specified. - 0.2 Resources: LO — The number of staff is currently inadequate for the compilation of monetary statistics. - 0.3 Relevance: LO — Structured and periodic procedure of consultations with external data users is not in place. - 0.4 Other quality management: LO — Quality monitoring and data review need strengthening prior to dissemination. - 1.1 Professionalism: O - 1.2 Transparency: LO — Terms and conditions not provided to the public; pre-release to select institutions not publicized. - 2.1 Concepts and definitions: LO — Credit to domestic sectors other than central government and private sector are presented on net basis. - 2.2 Scope: LO — Institutional coverage of ODCs is incomplete; deposits accepted by nonbank financial institutions account for more than 7 percent of total deposits accepted by commercial banks. - 2.3 Classification/sectorization: LO — Not in full compliance with MFSM. - 2.4 Basis for recording: LO — Accrued interest not incorporated; valuation adjustments included in other liabilities. - 3.1 Source data: LO — Commercial banks’ source data lack sufficient disaggregation needed per MFSM. - 3.2 Assessment of source data: O - 3.3 Statistical techniques: O - 3.4 Assessment and validation of intermediate data and outputs: O - 3.5 Revision studies: O - 4.1 Periodicity and timeliness: LO — Timeliness of ECCU broad money and credit aggregates does not accord with GDDS recommendations; data are released to the public four to five months after the reference month. - 4.2 Consistency: LO — Some inconsistencies in commercial banks’ accounts vis-à-vis the central bank and interbank positions. - 4.3 Revision policy and practice: LNO — Users are not informed about revised nature of data; studies of revisions not provided to the public. - 5.1 Data accessibility: LO — ECCB does not disseminate data based on a preannounced schedule with specific dates. - 5.2 Metadata accessibility: LO — Detailed explanation of methodology, coverage, and sources not available to users. - 5.3 Assistance to users: O ### V. Specific factual findings and measurements - The Statistics Department (SD) was established in December 2005. - Mission visit dates: April 10–20, 2007; assessment does not reflect changes after end of April 2007. - User survey response: 21 of 51 targeted users. - Average user-rating for overall quality on 1–5 scale: 3.3. - Deposits accepted by financial institutions other than commercial banks account for more than 7 percent of total deposits accepted by the commercial banks. - Timeliness shortfall: ECCU broad money and credit aggregates are released to the public four to five months after the reference month. - Metadata posted in the DSBB have not been updated since August 2003. ### VI. Recommendations (extract of principal areas for improvement) - Clarify and publicly specify the ECCB’s legal responsibility for compiling and disseminating monetary statistics. - Increase staff resources allocated to compilation of monetary statistics and provide further formal and on-the-job training. - Establish structured and periodic consultations with external data users to assess relevance and evolving requirements. - Strengthen quality monitoring, data verification, and validation procedures prior to dissemination of final aggregates. - Publicize terms and conditions for collection, compilation, and dissemination of monetary statistics; eliminate pre-release practices not publicized. - Extend institutional coverage to include mortgage companies, finance companies, building societies, and credit unions; disseminate data on gross domestic credit. - Align sectoral and instrument classifications and accounting bases with the MFSM, including incorporating accrued interest into values of interest-bearing assets and liabilities and removing valuation adjustments from other liabilities. - Improve source-data disaggregation from commercial banks to meet MFSM requirements. - Improve timeliness of ECCU-wide broad money and credit aggregates to accord with GDDS recommendations (reduce current four to five month lag). - Document and disseminate the revisions policy and practice; provide studies and analyses of data revisions to the public. - Adopt an advance release calendar and improve metadata accessibility and presentation of data on the ECCB website. *Summary derived from: _cr07289 - 1. Data quality Assessment Framework July 2003—Summary of Results for Monetary Statistics (assessment conducted April 10–20, 2007).* ### 15. Based on the review of the ECCB’s statistical practices, the mission has a set of ### Based on the review of the ECCB’s statistical practices, the mission has a set of recommendations ### Short-term recommendations and planned actions - Allocate about three new staff to the Monetary and Financial Unit of the Statistics Department to be responsible for the collection, verification, compilation, and dissemination of monetary statistics. - Implement the outstanding recommendations of the recent IMF technical assistance mission on compiling monetary data in accordance with MFSM and on the introduction of new call report forms for collecting data from commercial banks. - The new call report forms would be implemented by June 2008. - Expand institutional coverage of other depository corporations to include finance companies, mortgage companies, building societies, and credit unions that also accept deposits. - Expedite coordination with national Single Regulatory Units (SRUs) for data sharing. - The Bank currently gathers data from finance and mortgage companies licensed under the Banking Act and would intensify efforts to ensure a consistent series. - Disseminate monetary statistics for the ECCU area and for all its individual countries in the form of surveys as recommended by the MFSM (e.g., central bank survey, other depository corporations survey, and depository corporations survey). - The Bank would adopt the classification that is consistent with the MFSM. - Disseminate monetary data to all users simultaneously. - Monthly monetary statistics are now uploaded on the website at the same time they are disseminated to IMF and the Ministries of Finance. - Establish a structured and periodic process of consultations with external data users. - The Bank would undertake periodic surveys of users of the monetary data. - Improve verification procedures of disseminated data to ensure consistency among corresponding accounts of the ECCB and commercial banks. - Training of staff in IMF SRFs and development of links between SRFs and call forms will improve consistency. - Post on the ECCB website a schedule for the dissemination of monetary statistics with specific dates. - Statistics link on ECCB website to be established by December 2007. - Revision policy and data release calendar would be placed on the ECCB website by December 2007. - Develop and provide a detailed description of methodology used for the compilation of monetary statistics to all users. - GDDS metadata will be updated in September 2007. - A metadata page would be placed on the ECCB website. ### Medium-term recommendations and planned actions - Establish a policy for a periodic revision cycle and dissemination of explanations for revisions to the general public. - Establish a policy for a periodic revision cycle and explanations of revisions to the public. - Seek the possibility to define in the Eastern Caribbean Central Bank Agreement Act the responsibilities of the ECCB for compiling and disseminating statistics, including monetary statistics. - Prepare a statistical code of practice that outlines responsibility and standards for collecting, compiling and disseminating statistics. - Strengthen staff skills through ongoing training and attachments. - Internal training by the Bank Supervision Department and the Accounting Department. - Members of staff attended Monetary and Financial Statistics course in July 2007 (sponsored by CARTAC). - An attachment at the Statistics Department of the IMF for a member of staff is scheduled for September 2007. - Develop a system for the electronic transfer of financial data. ### Key findings on current practices and gaps - Legal/institutional environment - The ECCB’s responsibility for compiling and disseminating monetary statistics to the public is not clearly specified in the Agreement or the Banking Act. - Authorities state this responsibility is implied in Section 35 (5) of the ECCB Act. - Resources and capacity - Staff resources for compiling monetary statistics are currently not adequate; further training and on-the-job experience are needed. - The mission recommends allocation of about three new staff to the Monetary and Financial Unit. - Coverage and classification - Institutional coverage of depository corporations is incomplete. - Deposits collected by financial institutions other than commercial banks account for more than 7 percent of total deposits collected by commercial banks. - Sectoral and instrument classifications of disseminated monetary statistics are not in full compliance with the MFSM, particularly analytical accounts of commercial banks. - Timeliness and dissemination - Previously, timeliness of disseminated data on broad money and credit aggregates for the ECCU did not meet GDDS recommendations (data were released four to five months after the reference month). - Monthly monetary statistics are now uploaded on the ECCB’s website on a monthly basis. - The ECCB did not previously disseminate data on a preannounced schedule with specific dates; plan to post schedule and pre-announce changes (e.g., Change in the definition of money and the new EPR will be pre-announced on the website during the first quarter of 2008). - Methodological soundness and data quality - Concepts and definitions are broadly consistent with the MFSM, but credit to domestic sectors other than central governments and private sector is presented on a net basis in the dissemination of the monetary survey. - Valuation principles are generally consistent with the MFSM guidelines; however, accrued interest is not incorporated in the value of underlying instruments. - Source data for commercial banks lack sufficient disaggregation for MFSM-recommended compilation; the new call report forms in 2008 are expected to provide additional details. - Seasonally adjusted monetary aggregates are not calculated; the Bank would consider seasonally adjusted aggregates. - Transparency and metadata - Terms and conditions under which monetary statistics are collected, compiled, and disseminated were not publicly available; monthly monetary statistics are now uploaded on the website at the same time they are disseminated to commercial banks, IMF and Ministries of Finance. - Metadata posted in the IMF Dissemination Standard Bulletin Board (DSBB) have not been updated since August 2003; a link to the IMF GDDS website was established and GDDS metadata will be updated in September 2007. ### Action plan highlights (from ECCB’s response) - The ECCB prepared an Action Plan to guide development work on compilation and dissemination of monetary statistics and anticipates technical assistance in 2008 when the new reporting system for commercial banks would be implemented and a consistent data series for mortgage and finance companies would exist. - Technical assistance needs identified for 2008: - Verify compilation of MFSM-compliant monetary statistics from the new source data. - Assist in preparation of a survey for mortgage and finance companies and in preparation of a combined survey for commercial banks and mortgage and finance companies. - Assist in classification and compilation of data from other non-bank financial institutions. *Source: Response by the Authorities, August 8–9, 2007 — EASTERN CARIBBEAN CENTRAL BANK: Monetary Statistics Component of the Regional Data Module (ROSC).* ### section 7(2) of the ECCB Act states the responsibilities of the ECCB to provide the Monetary ### _cr07289 - section 7(2) of the ECCB Act states the responsibilities of the ECCB to provide the Monetary ### Data sharing and coordination among data-producing agencies - Internal operational guidelines: Procedural Manual, latest revision of September 2005, defines responsibilities and procedures for data sharing and coordination between the Statistics Department (SD), Accounting Department (AD), and Banking Supervision Department (BSD). - Data flows: - ECCB monthly balance sheet data and supplementary information are prepared by the AD and become available to the SD. - Monthly balance sheet data and supplementary information of the commercial banks are directly submitted to the SD. - Engagement with supervised banks: ECCB hosts meetings three times a year with commercial banks supervised by the ECCB to address operational aspects of data submission (methodology and timeliness) as defined in the ECCB Act and the Banking Act. - Expansion of coverage and single regulatory unit (SRU) initiative: - Arrangements for data sharing and coordination are under consideration between the ECCB and national authorities responsible for supervising financial corporations not licensed under the Banking Act. - ECCB encourages each member territory to establish a single regulatory agency (SRU) with adequate legal authority, funding, and resources to supervise all financial institutions not licensed under the Banking Act. - Status reported: In Anguilla and Montserrat, the SRUs are functional. In the Commonwealth of Dominica, Grenada and Saint Lucia they are at an advanced stage. - ECCB initiatives: hosted a conference in February 2007 to discuss institutional arrangements and envisaged hosting a follow-up meeting in June 2007 to ensure establishment of arrangements. - Anticipated timeline: SRUs in all territories would be fully functional by the end of 2007. ### Confidentiality and restricted access to reporters’ data - Legal provisions: - Section 35 (5) of the ECCB Act: all statements, returns, and any data submitted by financial corporations licensed under the Banking Act shall be regarded by the ECCB as secret. - Section 35 (6) of the ECCB Act: at the request of a member government of the ECCU, the ECCB shall arrange for the government to be supplied with a copy of any statement or return furnished by a financial institution and that all statements and returns so supplied shall be regarded by the government as secret. - Section 23 (3) of the Banking Act: all statements, returns, data, or information submitted by a financial institution under the Banking Act shall be regarded by the ECCB as secret. - Section 23 (4) of the Banking Act: at the request of a member government of the ECCU, the ECCB shall arrange for the government to be supplied with a copy of any statement or return furnished by a financial institution and the returns so supplied shall be regarded by the government as secret. - Internal safeguards: - Staff required to sign an oath to comply with internal confidentiality rule on joining the ECCB. - Staff Regulation of the ECCB, latest update of November 2006, section 22.4: staff who contravenes obligation to treat data as secret is held to disciplinary action. - Access restricted to staff of the SD, the BSD, and the Research Department (RD) who need such information; access verified by username and password. - Reporting institution names are converted into codes to prevent ready detection of identity unless otherwise authorized. - Special aggregation rules used to prevent residual disclosure of individual reporter’s data. ### Statistical reporting mandates, enforcement, and response encouragement - Legal reporting requirements: - Section 35 (2) of the ECCB Act: ECCB responsible to collect and compile information from financial institutions licensed under the Banking Act, in particular a monthly statement of assets and liabilities at the end of each month within fourteen days after the end of the reference month. - Section 23 (2) of the Banking Act: responsibilities of financial institutions licensed under the Banking Act to submit monthly and quarterly statements of assets and liabilities. - Section 23 (7) of the Banking Act: ECCB authority to penalize noncompliant financial institutions with summary conviction to a fine not exceeding five thousand dollars for each contravention. - Internal enforcement tools: Ladder of Enforcement Action defines degrees of actions against reporting noncompliance. - Measures to encourage response: - ECCB considers response burden and provides assistance by identifying a specific contact person in the SD. - ECCB seeks to secure cooperation by creating goodwill. ### Resources: staffing, facilities, computing, and financing - Staffing levels and responsibilities: - Current staffing responsible for compilation described as inadequate for the current scope.3 - Staff composition for monetary data compilation: a Deputy Director (oversees general tasks of the SD), two economic statisticians, and one clerical staff exclusively responsible for collection, verification, compilation of monetary data and for reporting a monthly statement of assets and liabilities of the ECCB and commercial banks to the IMF for surveillance and publication purposes. - Need to increase staffing for developmental work and expansion of institutional coverage. - Footnote 3: During preparation of this assessment, the SD lost one of its qualified staff who was responsible for the compilation of commercial banks’ data. - Systems and tools: - Data warehouse project envisaged to streamline data processing expected to materialize in short term. - Every SD staff assigned a personal computer with internet access and software such as Excel and AREMOS; software periodically updated. - Daily backups conducted system wide by the Management Information System Department and by staff of the SD. - Training and remuneration: - Qualification of staff is adequate; core staff receive training from the Caribbean Regional Technical Assistance Centre (CARTAC) and the IMF Institute in monetary statistics methodology. - Salary levels adequate and competitive with public administration agencies in ECCU member countries. - Facilities and financing: - Office building, furniture, and equipment adequate. - Transportation arrangements not relevant as data submitted electronically. - Funding reasonably secure for identified needs; development proposals presented to the Board of Directors during budgeting process; funding horizon usually one year. ### Measures to ensure efficient use of resources - Quarterly performance reviews of staff. - Efficiency review committee responsible for enhancing input, processing, and retrieval of data through technological enhancement. - ECCB seeks expert assistance from the IMF to evaluate statistical methodologies and the compilation system. - Resources used to compile monetary statistics are measured once a year during the budgeting process. ### Relevance and user engagement - Consultation practices: - No formally established process of regular consultation with ministries, private sector representatives, or academia. - Some external users indicate monetary data do not reflect emerging data needs. - Internal users (economists, bank examiners) consulted on specific needs; commercial banks consulted regularly. - Structured and periodic consultation in place with policy and operation departments of the ECCB (RD, BSD, Banking and Monetary Operations Department). - SD consults with RD’s Technical Unit on usefulness and data needs on a regular basis. - External participation: ECCB regularly participates in statistical meetings and seminars organized by IMF and Bank of England. ### Quality management and monitoring - Management awareness and planning: - Management awareness of data quality dimensions promoted via work program document submitted during budgeting. - Staff training programs emphasize importance of quality; specific documents on ECCB commitment to quality not publicly available. - Quality control processes: - Budgeting procedure plays a role in monitoring quality. - Procedures verify quality at each stage of collection, processing, and dissemination. - Quality control performed through computerized cross checks and follow-ups by SD with BSD and reporting commercial banks when discrepancies arise. - Analytical component of SD work needs strengthening for more comprehensive review prior to dissemination. - Compiling staff have access to IMF technical assistance on quality and strategies for improvement; periodic reviews undertaken. - Planning for quality: - Improvements identified through monitoring, user feedback, and recommendations from international organizations incorporated into the work program whenever feasible. ### Assurances of integrity: professionalism, transparency, and ethics - Professionalism: - No formal provisions for professional independence of statistics, but independence in data processing respected by ECCU governments by tradition and authority. - Structure (Monetary Council and Board of Directors with eight member countries) prevents a single government interfering with compilation and dissemination. - Professional competency important in recruitment and promotion; qualification criteria posted with vacancy announcements; promotion governed by performance rules and principles. - Professional development encouraged via lectures, conferences, seminars, and IMF-organized training; formal and on-the-job training regularly provided. - Internal guidelines promoting professionalism: Staff Regulations (last update November 2006) and Training and Staff Development Policy with Procedures and Guidelines (last update November 2006); Quarterly Performance Review and feedback process. - Transparency: - ECCB Act and Banking Act available in hard copy and PDF on ECCB's website. - Procedural Manual is an internal document and not publicly available. - ECCB informs terms and conditions in official meetings with commercial banks (three times a year). - Statistical publications (Economic and Financial Review, Commercial Banking Statistics, Financial Statistics Yearbook) do not identify where more information about the data producing agency and its products can be found; details on monetary data provided upon request. - Internal governmental access prior to release: monetary statistics released simultaneously to the Ministry of Finance, commercial banks, and national statistical offices of ECCU member countries before public dissemination; practice not publicized by ECCB. - Statistical products are clearly identified as ECCB products with name and logo; no joint statistical publications. - ECCB has internal guidelines to claim copyrights but does not publicly request attribution when its statistics are reproduced. - Advance notice: no major recent changes in methodology or source data; announcements prepared when new report forms are introduced. - Ethical standards: - Section 35 (5) of the ECCB Act provides broad ethical guidelines related to data confidentiality. - Staff bound by Staff Regulations (last update November 2006) which identify correct behavior in potential conflicts of interest and the connection between ethics and staff work. - Staff provided with Staff Regulations; awareness promoted occasionally in internal meetings. ### Methodological soundness: concepts, definitions, and compilation practices - Conceptual framework: - Analytical framework for ECCB, central banks of individual member countries of the ECCU, and commercial banks broadly in line with the Monetary and Financial Statistics Manual (MFSM). - ECCB uses the concept of a Monetary Survey (rather than a Depository Corporations Survey) for the entire ECCU area and for individual member countries; Monetary Survey derived by consolidating accounts of the ECCB and commercial banks. - Monetary Surveys of individual member countries derived by consolidating accounts of central banks of ECCU member countries and commercial banks operating in each member country. - Monetary aggregates compiled and disseminated: - M1: comprising currency in circulation (ECCB notes and coins in circulation) minus cash at the commercial banks (ECCB notes and coins) plus demand deposits of the private sector (comprising other resident sectors and other nonfinancial corporations) in Eastern Caribbean (EC) dollars. - M2 (broad money): comprising M1 plus savings and time deposits of the private sector in EC dollars and foreign currency deposits of the private sector. - Aggregates applicable for entire ECCU area and for individual member countries. - Other aggregates: - (i) net foreign assets (net foreign assets of the ECCB and commercial banks), - (ii) domestic credit to the central government net, other public sector net (comprising social security scheme and public nonfinancial sector), other financial corporations net, subsidiaries and affiliates net, - (iii) domestic credit to the private sector (other nonfinancial corporations and other resident sectors), - (iv) other items net. - These aggregates apply for entire ECCU area and for individual member countries. - Treatment of residency and consolidation: - For ECCU-wide aggregates, external and domestic accounts identified based on center of economic interest with respect to the entire ECCU area; interbank positions between commercial banks operating in the ECCU area consolidated as if the entire ECCU were a single country. - For member-country aggregates, external and internal accounts identified based on center of economic interest with respect to the territory of the specific member country; interbank positions between commercial banks operating in one member country consolidated; interbank positions between commercial banks operating in different ECCU member countries treated as foreign assets and foreign liabilities of a particular member country. - Compilation possible because most positions of ECCB and commercial banks are identified with respect to institutional units (sectors) and countries where units have center of economic interest. - Exception: capital accounts of the ECCB allocated to member countries belong exclusively to the ECCB and should not be allocated to central banks of individual member countries; in compiling central banks’ aggregates for individual member countries, capital accounts are imputed by taking the difference between total assets and liabilities of the accounts of the ECCB attributed to each member country. - Issues with netting and presentation: - Presentation of aggregate domestic credit problematic where credit to sectors other than central government and private sector are netted. - MFSM principle: data should be collected, compiled, and disseminated on a gross basis; claims on particular transactor/group should not be netted against liabilities to that transactor/group. - Exceptions: netting is acceptable for foreign assets and foreign liabilities and for claims on central government and liabilities to central government (compiled and disseminated as net foreign assets and net claims on central government). - Current netting of deposits of public sector and deposits of other financial corporations from claims on public sector and claims on other financial corporations, respectively, underestimates total value of credit extended to these sectors. *Source: _cr07289 - section 7(2) of the ECCB Act states the responsibilities of the ECCB to provide the Monetary (PDF).* ### 2.2 Scope ### _cr07289 - 2.2 Scope ### Scope and institutional coverage - As of end-March 2007, the institutional coverage of the Monetary Survey comprises the ECCB and 39 active commercial banks (including 14 branches of foreign banks operating in the ECCU member countries). - Note on RBTT branches: Two of these commercial banks are branches of the RBTT Bank, which headquarters in St. Vincent and Grenadines. These two branches are located in Saint Lucia and in Antigua and Barbuda. In the compilation of monetary data for the ECCU, the SD uses only consolidated balance sheet data of the RBTT Bank operating in St. Vincent and Grenadines and does not consider data of these two branches. - For analytical purposes, the MFSM defines the other depository corporations (ODCs) as all resident financial corporations (except for the central bank) and quasi corporations mainly engaged in financial intermediation and whose liabilities include deposits or financial instruments that are included in the national definition of money. - The national definition of broad money determines which units are classified as ODCs. To be in line with MFSM, ODCs should include all financial corporations that issue liabilities (accept deposits or issue instruments that are considered as close substitute of deposits) to be included in the national definition of broad money. - The institutional coverage of monetary statistics compiled by the ECCB does not comply with MFSM guidelines because monetary data do not include data on activities of other financial institutions operating in the ECCU region that accept deposits. As of end-March 2007, these other financial corporations included: - six finance companies, - eight mortgage companies, - four building societies, and - 65 credit unions. - As of end-2006, deposits accepted by the finance companies, mortgage companies, and credit unions represented about 7 percent of national-currency deposits accepted by the commercial banks for the same date. ### Classification and sectorization - Residency: - The definition of residency in the monetary data is consistent with the BPM5, 1993 SNA, and MFSM. - The ECCB acts as a common central bank for ECCU member countries; residence for the ECCB accounts is determined with respect to center of economic interest inside or outside the entire ECCU territories. For individual ECCU member countries, residency is determined with respect to the territory of the member country. - Sectorization—MFSM recommended classification for monetary statistics: - (i) central bank, - (ii) other depository corporations, - (iii) other financial corporations (OFCs), - (iv) central government, - (v) state and local governments, - (vi) public nonfinancial corporations, - (vii) other nonfinancial corporations, and - (viii) other resident sectors. - Sectorization adopted by the ECCB in the Monetary Survey: - (i) central bank, - (ii) commercial banks, - (iii) central government (which is a mix of the central governments and state and local governments), - (iv) other public sector (which consists of social security scheme and public nonfinancial corporations), - (v) non bank financial institutions (which consist of finance companies, mortgage companies, building societies, credit unions, and other financial institutions), - (vi) subsidiaries and affiliates (which is a mix of institutions that should be classified within the financial corporations, both depository and other financial corporations, and other nonfinancial corporations), and - (vii) private sector (which consists of other nonfinancial corporations and other resident sectors). - Instrument classification—MFSM recommended: - (i) monetary gold and SDRs, - (ii) currency and deposits, - (iii) securities other than shares, - (iv) loans, - (v) shares and other equity, - (vi) insurance technical reserves, - (vii) financial derivatives, and - (viii) other accounts receivable/payable. - ECCB instrument classification for ECCB accounts: - (i) external assets, - (ii) claims on local government debentures, - (iii) local treasury bills, - (iv) loans and advances to central governments, - (v) other claims on central governments, - (vi) other assets, - (vii) currency in circulation, - (viii) bankers reserves, - (ix) bankers fixed deposits, - (x) other due to banks, - (xi) foreign liabilities, - (xii) other demand liabilities, - (xiii) general reserves, and - (xiv) other liabilities. - ECCB asset-side notes: - The aggregate other asset category combines deposits, loans to sectors other than central government, shares and other equity, insurance technical reserves, financial derivatives, and other accounts receivable. - ECCB liability-side notes: - Other due to banks combine deposit liabilities to all sectors other than commercial banks, securities other than shares, loans, shares and other equity, financial derivatives, and other accounts payable. - Instrument classification for commercial banks: - Assets: (i) cash, (ii) deposits with the ECCB, (iii) claims on other local banks, claims on other ECCB area banks, (iv) loans and advances, (v) treasury bills, (vi) securities, (vii) foreign assets, (viii) other assets. - Liabilities: (ix) deposits (demand, time, savings, foreign currency), (x) balances due to the ECCB, (xi) balances due to other local banks, (xii) balances due to other ECCU area banks, (xiii) foreign liabilities, and (xiv) other liabilities. - Commercial banks asset-side notes: - Data on securities combine investment in debt securities and shares and other equity; data on other assets combine cash, financial derivatives, and other accounts receivables. - Commercial banks liability-side notes: - Data on other liabilities represent a mix of securities other than shares, loan liabilities to resident sectors other than commercial banks, shares and other equity, financial derivatives, and other accounts payable. - Recommendation: - It is desirable that MFSM-recommended sectoral and instrument classification is fully implemented in the monetary data disseminated by the ECCB, particularly if data with MFSM-recommended classification are compiled and reported to the IMF for publication in International Financial Statistics. ### Basis for recording (valuation, recording basis, grossing) - Valuation: - MFSM general recommendation: financial assets and liabilities valued on the basis of market prices or market-price equivalents (fair values). Loans are valued as creditors’ outstanding claims without adjustment for expected loan losses (book value = outstanding principal plus accrued interest). - Holding gains and losses arising from changes in market values should be recorded separately in a revaluation account. - In ECCB monetary data: - Financial assets traded in markets on a regular basis are valued at market prices. - Financial instruments not traded on a regular basis are valued on a fair value basis. - Loans are valued at current book value without adjustment for provisions. - Valuation adjustments are included in other liabilities for the accounts of the ECCB and commercial banks, but are not separately identified in the disseminated data. - All stocks and flows denominated in foreign currencies are translated to national currency values at the official rate pegged at EC$2.70 to US$1.00. - Recording basis: - MFSM recommends accrued interest be included in the value of the underlying financial instrument. - The accounts of the ECCB and commercial banks are recorded on an accrual basis. Interest accrued is treated as accruing continuously during the accounting period. - However, interest accrued is not incorporated in the outstanding amount of the interest-bearing financial assets and liabilities, but rather is recorded under other assets and other liabilities in ECCB publications. - Grossing/netting: - Except for cases described in element 2.1, the accounts of the ECCB and commercial banks are collected, compiled, and disseminated on a gross basis. ### Source data, compilation, and timeliness - Source data: - ECCB monthly financial statement and supplementary information are source data for analytical presentation of ECCB and central bank accounts. - Call report forms (based on accounting records) and supplementary forms are source data for commercial banks’ accounts. - Call report forms were slightly modified in 2003. These forms serve banking supervision and provide disaggregated data for monetary statistics. - BSD maintains a comprehensive register of commercial banks; register maintenance procedures are adequate. - Financial markets and other sources of information are monitored only on an ad hoc basis; most financial instruments are not regularly traded. - Adequacy relative to MFSM: - ECCB accounting records contain broadly sufficient details to classify data by financial instrument and sector, but do not provide full disaggregation of positions in EC dollars and in foreign currencies. - Commercial bank call reports do not contain all necessary information to fully classify by MFSM instrument and sector: positions in shares and other equities and financial derivatives are not separately identified; insufficient detail for verification of interbank positions; some instruments lack sufficient sectoral breakdown. - ECCB (BSD and SD) prepared a new reporting system to satisfy banking supervision and monetary statistics requirements; timing of implementation to be determined after the June 2007 meeting with commercial banks. - Timeliness of source data delivery: - Supplementary data with a breakdown by country are made available to the SD by the AD within about one week after the end of the reference month. - The ECCB financial statement is made available to SD by the AD in about four weeks after the end of the reference month. - Source data for commercial banks’ accounts are made available to SD directly by commercial banks usually not later than 14 working days after the reference period, as required in the Banking Act. - The ECCB employs follow-up procedures defined in internal guidelines, the Ladder of Compliance, to ensure timely receipt of commercial banks’ data. Delays are not significant. - Reporting variances and quality controls: - Commercial banks provide the BSD and SD with a statement on variance checks, together with monthly statements. - Banks provide explanatory notes when a change in the account exceeds EC$1 million or 10 percent of the previous balance on the account. - SD and BSD cooperate to inform banks of needed resubmissions or corrections; late resubmissions can cause delays. - Data processing and estimation: - Source data are provided in Excel spreadsheets with cross-checking equations; statistical techniques are automated; macros are used to avoid processing errors. - In case of late reporting or missing commercial bank data, estimates are made by carrying forward previous-month balances or by extrapolation of previous-month balances. - Statistical adjustments and seasonal adjustment: - Compilation is fully based on accounting sources; statistical adjustments are not carried out. - SD does not calculate seasonally adjusted monetary aggregates and does not make other statistical adjustments. - Validation and discrepancy handling: - SD validates monthly source data against other sources if necessary; flows are not used to verify stocks because flows are not calculated. - SD routinely assesses series behavior; most queries resolved directly with banks. - SD investigates statistical discrepancies and possible classification/sectorization errors for large unexplained fluctuations. - Revision studies: - There is currently no mechanism to conduct routine revision studies; ECCB believes routine revision studies are not relevant for monetary statistics. - Deviations, omissions, and other potential problems are identified and investigated on an ad hoc basis; results of ad hoc studies are not made available to users. ### Serviceability: periodicity and timeliness of dissemination - Periodicity: - GDDS recommends monthly dissemination of central bank and ODC accounts. The ECCB posts the ECCB survey and commercial banks’ data of individual ECCU countries on a monthly basis and publishes monthly commercial bank data in the Commercial Banks Statistics and the Economic Financial Review. - Timeliness relative to GDDS: - GDDS recommends central bank monthly data be disseminated within one to two months after reference month and ODC data within two to three months. - ECCB posts ECCB survey and monetary data for individual ECCU member countries approximately five to six weeks after the end of the reference month. - Data on broad money and credit aggregates for the ECCU are disseminated only within about four to five months after the end of the reference month. - Recommendations: - It would be desirable that the timeliness of disseminated data on broad money and credit aggregates for the ECCU be improved to accord with the GDDS recommendations as soon as possible. - In the future, the ECCB should consider improving timeliness further so that the disseminated data comply with the requirements of the Special Data Dissemination Standard (SDDS). *Source: _cr07289 - 2.2 Scope* ### 4.2 Consistency ### _cr07289 - 4.2 Consistency ### 4.2.1 Statistics are consistent within the dataset - Findings: - Central banks’ claims on and liabilities to the commercial banks and the commercial banks’ claims on and liabilities to the central banks are occasionally inconsistent. - Flow data are not compiled; therefore, stock and flow reconciliation is not possible. As a result: - Monetary aggregates are not reconcilable with the aggregates of monetary instruments held by money holding sectors in the flow of funds accounts. - Credit aggregates are not reconcilable with the debt aggregates calculated from the flow of funds accounts. - Consistency in commercial banks’ interbank positions is not verifiable from publicly disseminated monetary statistics. Data compiled and reported to the IMF for publication show some discrepancies in commercial banks’ interbank positions. - Recommendations/Desired actions: - Include consistency checks on central banks’ and commercial banks’ positions and on commercial banks’ interbank positions in the automated verification process for data used in the compilation of monetary statistics. - Provide regular analysis of possible discrepancies in these positions to reporting banks. ### 4.2.2 Statistics are consistent or reconcilable over a reasonable period of time - Findings: - Time series availability: - Monetary Surveys for the ECCU and individual ECCU member countries: available for the most recent six quarters. - Accounts of the ECCB and commercial banks: - Monthly data: past 21 months. - Quarterly data: one year. - Annual data: 17 years. - These data are consistent over the periods for which they are disseminated. - There has not been a change in the source data and methodology; therefore, historical series have never been revised and explanatory notes to changes have not been necessary. - Unusual changes in economic trends have not been detected, and therefore no explanations have been provided to data users. ### 4.2.3 Statistics are consistent or reconcilable with those obtained through other data sources and/or statistical frameworks - Findings: - Monetary data are directly used as inputs for the compilation of the balance of payments, government finance, and national accounts statistics (relevant aggregates). - Consistency between the monetary statistics and these other macroeconomic statistics is therefore assured. ### 4.3 Revision policy and practice #### 4.3.1 Revisions follow a regular and transparent schedule - Findings: - Accounting data used for monetary statistics are deemed final. - The ECCB does not have a revision policy for statistical information. - Data for the ECCB, central banks of individual ECCU member countries, and commercial banks are revised immediately after new or revised data are provided to the SD; in practice, revisions usually occur in the following month. - No announcement has been made to the public regarding the revision cycle. - The SD is drafting a revision policy for all statistical data compiled by the ECCB and expects to announce this policy to the public during the year 2007. #### 4.3.2 Preliminary and/or revised data are clearly identified - Findings: - Monetary Surveys and the accounts of the ECCB and commercial banks denote preliminary data as “P” and revised data as “R”; these notations are documented in notes to the Economic and Financial Review. - Users are not informed as to why the ECCB publishes preliminary data. #### 4.3.3 Studies and analyses of revisions are made public - Findings: - Monetary data are based on accounting records; preliminary data are released only due to occasional delays in finalization of balance sheets and reporting. - No routine studies and analyses of revisions are carried out. - Errors and data shortcomings reported by banks are the focus of internal analysis, but results of these analyses are not made available to users. ### 5 Accessibility #### 5.1 Data accessibility ##### 5.1.1 Presentation and interpretability - Findings: - The Monetary Survey and explanatory notes generally facilitate interpretation. - The Economic and Financial Review elaborates on developments in money supply, domestic credits, and net foreign assets with charts and tables, and contains balance-sheet format accounts of the ECCB and commercial banks in addition to the Monetary Survey. - Data on the ECCB are presented in the format of the Central Bank Survey; other monetary data are not presented in the format of surveys (Other Depository Corporation Survey and Depository Corporations Survey) that would provide full instrument and sectoral breakdowns as recommended by the MFSM. - Recommendation: - Disseminate data in survey formats (ODC Survey and Depository Corporations Survey) to provide fuller instrument and sectoral breakdowns. ##### 5.1.2 Dissemination media and format - Findings: - The Monetary Survey and accounts of the ECCB and commercial banks are disseminated in publications and posted on the ECCB website in PDF format, permitting redissemination. - More comprehensive and detailed statistics are not disseminated in hard copy or electronic form. - Current data and time series published in the Economic and Financial Review and on the ECCB website in PDF format are not downloadable as data series. ##### 5.1.3 Release schedule - Findings: - The ECCB posts periodicity of statistical publications but does not preannounce dissemination schedule with specific dates. - The ECCB is preparing a calendar for dissemination of statistical data to be posted on the ECCB website. ##### 5.1.4 Equal access at release - Findings: - There is no formal public procedure to announce data release and access methods. - ECCB releases monetary statistics electronically on a monthly basis to: - Ministry of Finance, - national statistical offices of each ECCU member country, - commercial banks. - ECCB makes monetary statistics available to the public via publications and website posting on a quarterly basis. ##### 5.1.5 Non-routine data access - Findings: - Unpublished and non-confidential data are made available free of charge upon request. - Procedures and availability of statistical information beyond officially released monetary data are not publicized. #### 5.2 Metadata accessibility ##### 5.2.1 Documentation on methodology and deviations from standards - Findings: - The Economic and Financial Review (quarterly) disseminates a short description of indicators and aggregates used in monetary statistics tables. - The annual Financial Statistics Yearbook publicizes a short description of the balance sheet presentation of the accounts of the ECCB and commercial banks. - These descriptions do not provide full information on framework, concepts, scope, accounting conventions, data sources, and compilation practices. - No documentation of differences from internationally accepted standards and good practices is available. - The ECCB links its website to the IMF’s Dissemination Standard Bulletin Board (DSBB) where information is posted for six ECCU member countries participating in the GDDS; metadata on the DSBB have not been updated since August 2003. - Recommendation: - The SD should develop and post documentation on procedures used in compilation of monetary data (concepts, definitions, scope, classifications, basis for recording, and data sources) on the ECCB website. ##### 5.2.2 Level of detail - Findings: - More detailed monetary data are not available to the public. - Recommendation: - Disseminate central bank surveys for individual ECCU member countries and the other depository corporations survey to provide more detailed data for analysis of the banking sector’s activity. #### 5.3 Assistance to users ##### 5.3.1 Contact points and responsiveness - Findings: - Prompt and knowledgeable service and support are available; statistical publications indicate contact phone/fax numbers and postal/email addresses. - A link on the ECCB website to GDDS metadata includes contact person information. - Website provides information on applications for regular subscriptions for monetary data and other statistics. - Assistance to users is monitored and reviewed; SD’s internal guidelines specify five working days as the time period for responding to inquiries from users. ##### 5.3.2 Catalogs and charges - Findings: - A list of periodic publications is available on the ECCB website. - Prices of statistical products and services are not disclosed. ### Key assessment highlights from the Data Quality Assessment Framework (summary) - Prerequisites of quality: - ECCB’s responsibility for compiling and disseminating monetary statistics to the public is not clearly specified. - Number of staff is currently not adequate for compilation of monetary statistics. - Structured and periodic consultation with external data users is not in place. - Quality monitoring and data review need strengthening prior to dissemination of final aggregates. - Assurances of integrity: - Terms and conditions under which monetary statistics are collected, compiled, and disseminated are not available to the public. - Data are released simultaneously to the Ministry of Finance, commercial banks, and national statistical offices before provision to the general public; this practice is not publicized. - Methodological soundness: - Credit to domestic sectors other than central governments and private sector are presented on net basis in the Monetary Survey. - Institutional coverage of ODCs is incomplete; deposits collected by financial institutions other than commercial banks account for more than 7 percent of total deposits collected by the commercial banks. - Sectoral and instrument classifications are not in full compliance with the MFSM. - Accrued interest is not incorporated in underlying instrument values; valuation adjustments are included in unclassified liabilities. - Accuracy and reliability: - Source data for commercial banks’ accounts do not provide sufficient disaggregation needed for MFSM-recommended monetary statistics. - Assessment and validation processes, and revision studies, are largely not observed or not adequately publicized. - Serviceability: - Timeliness of disseminated data on broad money and credit aggregates for the ECCU does not meet GDDS recommendations. - There are consistency problems in commercial banks’ accounts vis-à-vis the central bank and in commercial banks’ interbank positions. - Users are not informed about the revised nature of data; studies and analyses of revisions are not provided to the public. - Accessibility and metadata: - ECCB does not disseminate data based on a preannounced schedule with specific dates. - Detailed explanation of monetary statistics methodology, data coverage, and data sources is not available to users. - Assistance to users is observed but product pricing is not disclosed. *Source: _cr07289 - 4.2 Consistency* ### 2.4 Basis for recording—Flows ### 2.4 Basis for recording—Flows ### Basis for recording and valuation - Flows and stocks are valued and recorded according to internationally accepted standards, guidelines, or good practices. - Grossing/netting procedures are broadly consistent with internationally accepted standards, guidelines, or good practices (2.4.3). ### Source data—availability and adequacy (3.1) - Source data available provide an adequate basis to compile statistics (3.1). - Source data are obtained from comprehensive data collection programs that take into account country-specific conditions (3.1.1). - Source data reasonably approximate the definitions, scope, classifications, valuation, and time of recording required (3.1.2). - Source data are timely (3.1.3). ### Assessment of source data (3.2) - Source data are regularly assessed (3.2). - Source data—including censuses, sample surveys, and administrative records—are routinely assessed, e.g., for coverage, sample error, response error, and nonsampling error; the results of the assessments are monitored and made available to guide statistical processes (3.2.1). ### Statistical techniques and transformations (3.3) - Statistical techniques employed conform to sound statistical procedures (3.3). - Data compilation employs sound statistical techniques to deal with data sources (3.3.1). - Other statistical procedures (e.g., data adjustments and transformations, and statistical analysis) employ sound statistical techniques (3.3.2). ### Assessment and validation of intermediate data and outputs (3.4) - Intermediate results and statistical outputs are regularly assessed and validated (3.4). - Intermediate results are validated against other information where applicable (3.4.1). - Statistical discrepancies in intermediate data are assessed and investigated (3.4.2). - Statistical discrepancies and other potential indicators or problems in statistical outputs are investigated (3.4.3). ### Revisions and reliability (3.5) - Revisions, as a gauge of reliability, are tracked and mined for the information they may provide (3.5). - Studies and analyses of revisions are carried out routinely and used internally to inform statistical processes (see also 4.3.3) (3.5.1). --- ### Quality dimensions and dissemination standards ### Periodicity and timeliness (4.1) - Periodicity and timeliness follow internationally accepted dissemination standards (4.1). - Periodicity follows dissemination standards (4.1.1). - Timeliness follows dissemination standards (4.1.2). ### Consistency (4.2) - Statistics are consistent within the dataset, over time, and with major datasets (4.2). - Statistics are consistent within the dataset (4.2.1). - Statistics are consistent or reconcilable over a reasonable period of time (4.2.2). - Statistics are consistent or reconcilable with those obtained through other data sources and/or statistical frameworks (4.2.3). ### Revision policy and practice (4.3) - Data revisions follow a regular and publicized procedure (4.3). - Revisions follow a regular and transparent schedule (4.3.1). - Preliminary and/or revised data are clearly identified (4.3.2). - Studies and analyses of revisions are made public (see also 3.5.1) (4.3.3). --- ### Serviceability and accessibility ### Data presentation and dissemination (5.1) - Statistics are presented in a way that facilitates proper interpretation and meaningful comparisons (layout and clarity of text, tables, and charts) (5.1.1). - Dissemination media and format are adequate (5.1.2). - Statistics are released on a preannounced schedule (5.1.3). - Statistics are made available to all users at the same time (5.1.4). - Statistics not routinely disseminated are made available upon request (5.1.5). ### Metadata accessibility (5.2) - Documentation on concepts, scope, classifications, basis of recording, data sources, and statistical techniques is available, and differences from internationally accepted standards, guidelines, or good practices are annotated (5.2.1). - Levels of detail are adapted to the needs of the intended audience (5.2.2). ### Assistance to users (5.3) - Prompt and knowledgeable support service is available (5.3.1). - Contact points for each subject field are publicized (5.3.1). - Catalogs of publications, documents, and other services, including information on any charges, are widely available (5.3.2). --- ### Appendix I. Users’ Survey — Summary of Results of Survey of Data Users ### Survey design and response - Questionnaires were sent to 51 users and 21 responses (41 percent) were received from users representing mainly banks, government agencies, and international organizations. - The survey was conducted with the cooperation of the Eastern Caribbean Central Bank (ECCB) to complement the mission’s assessment of the quality of monetary statistics. ### Key findings from users - Users expressed general satisfaction with the overall quality of monetary statistics, noting that ECCB had made significant progress in this area over the past decade. - Seventy-six percent of respondents indicated that they can easily access the official monetary statistics and felt that monetary statistics covered by the survey are unbiased and accurate. - Seventy-one percent of respondents indicated that they are satisfied with the coverage of the monetary statistics. - Only thirty-three percent of respondents considered that the monetary statistics are disseminated with the appropriate timeliness. - Respondents primarily use the website (76 percent), email requests, and publications to obtain the monetary statistics. - Only forty-three percent of users indicated that they can easily access information pertaining to explanatory notes, methodological descriptions, references concerning concepts and classifications. - Twenty-nine percent of users were satisfied with the information on revisions to the official monetary statistics. ### Notes on outreach - The mission did not organize a meeting with selected users to solicit detailed feedback on the responses to the survey because the majority of respondents were from other ECCU member countries (other than St. Kitts and Nevis). *Source: _cr07289 - 2.4 Basis for recording—Flows* --- _Source: https://www.imf.org/-/media/websites/imf/imported-full-text-pdf/external/pubs/ft/scr/2007/_cr07289.pdf_