Government Finance Statistics

247 Pages·2012·4.13 MB·English

INTERNATIONAL MONETARY FUND
Government
Finance
Statistics:
Compilation Guide
for Developing
Countries
September 2011

INTERNATIONAL MONETARY FUND

Government Finance Statistics:
Compilation Guide
for Developing Countries

______________
September 2011
Cataloging-in-Publication Data
Joint Bank-Fund Library

Government finance statistics [electronic resource] : compilation guide for developing countries. –
Washington, D.C. : International Monetary Fund, 2011.
1 online resource (245 p.)

―Available in eBook form only.‖
ISBN 978-1-61635-230-1

1. Finance, Public – Developing countries -- Statistics. 2. Finance, Public – Statistics –
Handbooks, manuals, etc. I. International Monetary Fund.

HJ1620.G68 2011eb

Table of Contents iii

Preface ................................................................................................................................... viii
Chapter 1. Introduction .......................................................................................................... i
PART I. MAIN CONCEPTS AND FRAMEWORK ...........................................................................5
Chapter 2. Coverage of the GFS System ...............................................................................5
A. Introduction ...............................................................................................................5
B. Institutional Units and Sectors of the Economy ........................................................5
C. General Government Sector ......................................................................................7
D. Public Sector .............................................................................................................9
E. Decision tree for Sectoring Public Entities .............................................................11
Chapter 3. Flows, Stocks, and Accounting Rules ................................................................15
A. Flows and Stocks ....................................................................................................15
Transactions .....................................................................................................15
Other economic flows ......................................................................................17
Stocks ...............................................................................................................17
B. Accounting Rules ....................................................................................................18
Double entry accounting ..................................................................................18
Time of recording of flows ..............................................................................19
Valuation ..........................................................................................................20
Netting of flows and stocks..............................................................................21
Contingencies ...................................................................................................22
Consolidation ...................................................................................................22
Common sense rules ........................................................................................22
Chapter 4. Overview of the GFS Framework and Classification System ........................24
A. Overall Framework .................................................................................................24
Statement of sources and uses of cash .............................................................24
Statement of government operations ...............................................................26
Statement of other economic flows..................................................................28
Balance sheet ...................................................................................................28
B. Overview of the GFS Classification and Coding System .......................................31
C. Main Differences Between the GFSM 1986 and the GFSM 2001 Classification
Systems ....................................................................................................................34
Chapter 5. Classification of Revenue, Expense, Assets and Liabilities, and Other
Economic Flows ..................................................................................................36
A. Revenue ...................................................................................................................36
Taxes ................................................................................................................38
Social contributions .........................................................................................40
Grants ...............................................................................................................41
Other revenue ...................................................................................................41
B. Economic Classification of Expense .......................................................................43
Compensation of employees ............................................................................43
Table of Contents iv

Use of goods and services ................................................................................45
Consumption of fixed capital ...........................................................................46
Interest..............................................................................................................46
Subsidies ..........................................................................................................47
Grants ...............................................................................................................47
Social benefits ..................................................................................................47
Other expense...................................................................................................48
C. Functional Classification of Expense ......................................................................49
D. Assets and Liabilities ..............................................................................................51
Nonfinancial assets ..........................................................................................51
Financial assets and liabilities ..........................................................................59
E. Other economic flows..............................................................................................67
Annex 5.1 List of Typical Names for Revenue and Expense Categories Used by
Countries ....................................................................................................69
PART II. DATA COMPILATION ................................................................................................75
Chapter 6. Institutional Structure of Government .............................................................77
A. List of Entities and Units of the General Government (Public) Sector ..................77
B. Typical Institutional Table ......................................................................................79
Annex 6.1 List of Entities and Institutional Units of the General Government and
Public Sectors.............................................................................................83
Chapter 7. Data Sources ........................................................................................................87
A. Accounting Records, Budget Execution Reports, and Financial Statements .........87
B. Adjustments to Source Data ....................................................................................90
Chapter 8. From Source Data to Government Finance Statistics .....................................92
A. Derivation Tables ....................................................................................................93
B. Bridge Tables ..........................................................................................................99
C. Classification Assistant .........................................................................................103
D. Summary Statements and Detail Tables ...............................................................106
Annex 8.1 Detail Tables for Revenue, Expense, Assets, and Liabilities, and Other
Economic Flows.......................................................................................109
Chapter 9. Consolidation ....................................................................................................117
A. Purpose of Consolidation ......................................................................................117
B. Key Items to Focus on Consolidation ...................................................................118
C. Rules of Thumb for Consolidation ........................................................................120
D. Differences in the GFSM 1986 and GFSM 2001 Consolidation Presentations ....121
E. Consolidation of Nonfinancial Public Corporations .............................................122
PART III. OTHER ISSUES .......................................................................................................124
Chapter 10. Recording of Typical Cash Transactions .....................................................125
A. Revenue .................................................................................................................125
Taxes ..............................................................................................................125
Table of Contents v

Social contributions .......................................................................................127
Grants .............................................................................................................128
Other revenue .................................................................................................128
B. Expense .................................................................................................................130
Compensation of employees ..........................................................................130
Use of goods and services ..............................................................................131
Interest............................................................................................................132
Subsidies ........................................................................................................132
Grants .............................................................................................................133
Social benefits ................................................................................................133
Other expense.................................................................................................134
C. Nonfinancial Assets...............................................................................................135
D. Financial Assets and Liabilities ............................................................................136
E. Accrual Recording of Transactions .......................................................................138
Chapter 11. Recording of Complex Transactions .............................................................141
A. Monetary Transactions ..........................................................................................141
Revenues from natural resources ...................................................................141
Transactions with the IMF .............................................................................145
Social protection ............................................................................................150
Interest............................................................................................................165
B. Nonmonetary Transactions and Other Economic Flows.......................................167
In-kind transactions ........................................................................................168
Debt operations ..............................................................................................169
Arrears............................................................................................................176
Other economic flows ....................................................................................178
Chapter 12. Data Dissemination .........................................................................................181
A. Data Dissemination Standards ..............................................................................181
B. Other Aspects of Data Dissemination ...................................................................183
Metadata .........................................................................................................183
Advance release calendar ...............................................................................184
Dissemination formats ...................................................................................184
C. Data Reporting to the IMF ....................................................................................184
Chapter 13. Adoption of the GFSM 2001 Methodology ...................................................186
A. Introduction ...........................................................................................................186
B. Stage 1: Introducing the GFSM 2001 Format to Existing Data ............................188
C. Stage 2: Expanding the Institutional and Transactional Coverage of GFS ...........189
D. Stage 3: Expanding the Coverage of GFS to Selected Noncash Items .................191
E. Stage 4: Expanding the Coverage of GFS to Cover All Flows and Stocks ...........191
F. Conclusion .............................................................................................................194
Table of Contents vi

Tables
1. Statement of Sources and Uses of Cash ...............................................................................27
2. Statement of Government Operation ...................................................................................27
3. Statement of Other Economic Flows ...................................................................................28
4. Balance Sheet .......................................................................................................................30
5. Main Classification Differences between the GFSM 1986 and the GFSM 2001 ................35
6. Classification of Revenue ....................................................................................................37
7. Economic Classification of Expense ...................................................................................44
8. Classification of Expense by Function of Government .......................................................50
9A. Classification of Flows and Stocks for Nonfinancial Assets ............................................53
9B. Classification of Flows and Stocks for Financial Assets and Liabilities ..........................61
10. Institutional Table for Country Z .......................................................................................81
11. Government Budget Outturn, Fiscal Year 2009 ................................................................93
12. Country Z Derivation Tables between National Aggregates and Main GFSM 2001
Aggregates for Central Government ..................................................................................96
13. Country Z Bridge Tables between National Chart of Accounts and GFSM 2001
Classifications ..................................................................................................................100
14. Classification Assistant ....................................................................................................105
15. Country Z Statement of Sources and Uses of Cash .........................................................107
16. Illustration of Unconsolidated Versus Consolidated Data ...............................................118
17. Illustration of GFSM 1986 versus GFSM 2001 Consolidation Presentations .................121
18. Recording of Cash Transactions in Overall Framework..................................................137
19. Recording of Social Protection Flows .............................................................................160
20. Recording of Regular Debt Operations in Overall Framework .......................................171
A1.1 Classification of Revenue .............................................................................................196
A1.2 Economic Classification of Expense.............................................................................197
A1.3 Classifications of Flows and Stocks in Assets and Liabilities ......................................198
A1.4 Classification of Outlays by Functions of Government ................................................201
A1.5 Classification of Transactions in Financial Assets and Liabilities by Sector ...............203
A2.1 National Social Security Fund – Bridge Table from Accounting Income
Statement to GFSM 2001 Classifications .....................................................................209
A2.2 National Social Security Fund – Bridge Table from Accounting Balance Sheet to
GFSM 2001 Classifications ..........................................................................................211
A2.3 National Social Security Fund – Bridge Table from Accounting Cash Flow
Statement to GFSM 2001 Classifications .....................................................................212
A2.4A National Social Security Fund – Derivation Tables for GFSM 2001 Main
Aggregates .................................................................................................................214
A2.4B National Social Security Fund – Derivation Tables for GFSM 2001 Main Cash
Aggregates .................................................................................................................216
A2.5 National Social Security Fund – GFSM 2001 Statement of Government Operations ..217
A2.6 National Social Security Fund – GFSM 2001 Statement of Sources and Uses of
Cash...............................................................................................................................218
Table of Contents vii

A2.7 National Social Security Fund – GFSM 2001 Balance Sheet .......................................219
A2.8 National Social Security Fund – GFSM 2001 Overall Framework ..............................220
A2.9 Shipping Corporation – Bridge Table from Accounting Income Statement to
GFSM 2001 Classifications ..........................................................................................221
A2.10 Shipping Corporation – Bridge Table from Accounting Balance Sheet to
GFSM 2001 Classifications .........................................................................................223
A2.11 Shipping Corporation – Bridge Table from Accounting Cash Flow Statement to
GFSM 2001 Classifications .........................................................................................226
A2.12A Shipping Corporation – Derivation Tables for GFSM 2001 Main Aggregates .......228
A2.12B Shipping Corporation – Derivation Tables for GFSM 2001 Main Cash
Aggregates ................................................................................................................230
A2.13 Shipping Corporation – GFSM 2001 Revenue and Expense ......................................231
A2.14 Shipping Corporation – GFSM 2001 Statement of Sources and Uses of Cash ..........232
A2.15 Shipping Corporation – GFSM 2001 Integrated Statement of Stocks and Flows ......233

Figures
1. General Government Sector and its Subsectors .....................................................................8
2A. The Public Sector and the 2008 SNA Institutional Sectors of the Total Economy ...........10
2B. The Public Sector and its Subsectors ................................................................................11
3. Decision Tree for Sectoring Public Entities .........................................................................12
4. Compensation of Employees – Rerouting of Social Contributions .....................................16
5. Debits and Credits ................................................................................................................18
6. Market Value, Nominal Value, and Face Value ..................................................................21
7. The GFSM 2001 Overall Framework ..................................................................................25
8. The GFS Coding System for Flows and Stocks...................................................................32
9. Steps in GFSM 2001 Data Compilation Process .................................................................76
10A. General Government Sector and its Subsectors ..............................................................77
10B. Public Sector ...................................................................................................................78
11. Debits and Credits ............................................................................................................124
12: Relationship between Social Protection and Insurance ...................................................152
13. Social Protection Typology..............................................................................................154
14. Dissemination Guidance for Fiscal Statistics ..................................................................183
15. Building Government Finance Statistics Step by Step ....................................................187

Boxes
1. Test your Knowledge of Fiscal Statistics...............................................................................2

Appendixes
1. Classification Categories and Codes for all Flows and Stocks .........................................195
2. Compilation of GFS from Financial Statements ...............................................................204

Epilogue ................................................................................................................................234