Table of Contents
Summary
I. Introduction
II. The GPS Data System and Compilation Steps
III. Existing Administrative Arrangements that Affect Compilation of Fiscal Data in FSU Countries
Structure of government in FSU countries
Accounting system underlying the fiscal data
Source documents for compilation of GFS data in FSU countries:
Monthly Fiscal Reports
Quarterly Fiscal Reports
Annual Fiscal Reports
IV. Issues Arising from Use of Source Documents to Compile GFS Data
Coverage of the data
Existing classification codes
Level of data aggregation in the fiscal reports
Exclusion of commercial and industrial activities
Basis of recording the data
Consolidation
Integrity of the source data
V. Methodological Issues
Exchange taxes arising from foreign currency surrender
Valuation of transactions of the hard currency funds
Treatment of centralized export regimes for strategic goods
Indirect subsidies arising from counterpart funds for foreign currency allocations
Treatment in GFS of other indirect subsidies arising from loans-in-kind and commodity loans
Proceeds from the noncommercial sale of goods received through loans-in-kind, and grants-in-kind
Receipts from the sale of gold
Treatment of profits of the central bank
Government loans to foreign countries
Proceeds from privatization
Government assumption of enterprise and central bank debt
Treatment of grants in GFS methodology
Government on-lending and quasi-fiscal operations of the monetary authorities and banks
Measurement of arrears of government units
Treatment in GFS of specific receipt items
Reconciliation of fiscal and monetary data
VI. Priority Areas for Future Development
Provision of high level support for development of macroeconomic data
Establishment of a GFS compilation unit
Extension of coverage of the fiscal reporting system
Revision of existing classification codes
Establishment of registers for government debt and contingent liabilities
Amendment of consolidation methods for intragovernmental transfers
Liaison with central banks to identify government accounts
Establishment of a system to record arrears
Establishment of a system to record levels of quasi-fiscal lending by the financial sector
VIII. Conclusion
Appendices
Appendix I: List of Countries for which Classification Bridge Tables are Included in the Supplementary Paper
Appendix II: List of Missions that have Provided Technical Assistance in Government Finance Statistics to FSU Countries through August 1994
Appendix III: Analytical Framework of the GFS Data System
Appendix IV: Classification Categories of the GFS Data Tables
Appendix V: Extracts from the Institutional Tables of Selected FSU Countries
Appendix VI: Format of a Typical Monthly Fiscal Report for FSU Countries
Appendix VII: Description of the Contents of a Typical Annual Report for FSU Countries
Appendix VIII: Sample Format of a Reporting Form for Extrabudgetary Funds and Social Security Schemes in FSU Countries
Appendix IX: Bridge Table for the Generic Classification of Razdels and GFS Codes
Appendix X: Bridge Table for the Generic Classification of Statias and GFS Codes
Appendix XI: Methodology for Calculating the Profits on Gold Transactions in the Russian Federation
Bibliography
Summary
This paper examines compilation and methodological issues that affect government finance statistics (GFS) in the Baltics, the Russian Federation, and other states of the former Soviet Union.
The paper finds that several major problems affect the use of fiscal reports from the countries of the former Soviet Union as source documents for GFS data. The most serious of these is the inadequate coverage of the data in the fiscal reports, which exclude significant portions of government activity. Another major shortcoming is the structure of the classification codes, which do not adequately distinguish the different economic characteristics or functional nature of transactions. A third significant problem is the level of aggregation in the fiscal reports, particularly the subannual reports, which hinders both accurate measurement of the deficit or surplus and the compilation of detailed GFS data.
The paper also finds that there has been some uncertainty about the appropriate treatment of certain types of transactions in the countries of the former Soviet Union. It suggests treatments designed to be both consistent with the international methodology and compatible with the operational requirements of the Fund.
The paper concludes that, although the IMF has provided extensive training and technical assistance in GFS methodology, progress has been slow in all of the former Soviet Union countries, other than the Baltic countries. It identifies priority areas for the future development of GFS reporting systems for these countries.