Indonesia: Report on the Observance of Standards and Codes—Data Module, Response by the Authorities

This report on the Observance of Standards and Codes on Data Module for Indonesia highlights that the Indonesian statistical system is undergoing fundamental transition. The statistical agencies are dealing with important challenges. They are at various stages of adopting and implementing internationally recognized best practice methodologies for each major macroeconomic dataset. They are also seeking to adapt the statistical system to measure ongoing structural change in the economy, including increasing global integration.

Abstract

This report on the Observance of Standards and Codes on Data Module for Indonesia highlights that the Indonesian statistical system is undergoing fundamental transition. The statistical agencies are dealing with important challenges. They are at various stages of adopting and implementing internationally recognized best practice methodologies for each major macroeconomic dataset. They are also seeking to adapt the statistical system to measure ongoing structural change in the economy, including increasing global integration.

I. Introduction

The Indonesian authorities—the Ministry of Finance (MoF), BPS-Statistics Indonesia, and Bank Indonesia (BI)—express their appreciation for the findings presented in the Data Module Report on the Observance of Standards and Codes (ROSC). The mission had made a number of recommendations regarding compilation, dissemination, and methodology for statistics, but it was gratifying to note the mission’s appreciation of the hard work of the authorities to improve the statistical system. These findings represent a “snapshot” as of March 2005, and this document elaborates on the response by the Indonesian authorities to the staff’s recommendations made during the ROSC mission on March 28–April 11, 2005.

Cross-cutting recommendations

Harmonize macroeconomic statistics across all sectors, in particular, by addressing intersectoral discrepancies between monetary statistics and GFS, as well as discrepancies between government finance and BOP statistics in BOP and national accounts.

Efforts have been pursued to build institutional cooperation between BI and the MoF by arranging institutional meetings to harmonize monetary statistics and the GFS post ROSC assessment, and especially to discuss the use of government financing data from BI rather than from the MoF.

II. Comments from the Ministry of Finance

A. Government Finance Statistics

Comments on the Detailed DQAF Assessments

article image
article image

Plans/Status of Implementation of ROSC Recommendations

article image
article image

III. Comments from BPS-Statistics Indonesia

A. National Accounts

Comments on the Detailed DQAF Assessments

article image
article image
article image
article image

Plans/Status of ROSC Implementation—BPS Indonesia

article image
article image

IV. Comments from Bank Indonesia

The report is a fair assessment of standards and codes implemented by BI in its compilation of the monetary and balance of payments statistics. The shortcomings highlighted by the IMF ROSC mission are recognized as challenges. Resources permitting, the authorities are committed to make improvements in the near future in conformity with the internationally accepted standards and codes.

With respect to monetary statistics, staff assessments indicate mostly “observed.” This result was only achieved because of the tireless efforts of BI in developing monetary statistics since 2002, with support from technical assistance teams from the IMF’s Statistics Department in September 2002 and June 2003. Notwithstanding the results of the assessments, some improvements are still needed in some areas of monetary statistics.

For balance of payment statistics, the staff assessments indicate, for the most part, “observed” and “largely observed.” A possible explanation for this result is the intensive work undertaken by BI to improve quality and compilation of data in accordance with BPM5.

A. Monetary Statistics

Comments on the Detailed DQAF Assessments

article image
article image

Plans/Status of Implementation of ROSC Recommendations

article image

B. Balance of Payments Statistics

Comments on the Detailed DQAF Assessments

article image
article image
article image

Plans/Status of Implementation of ROSC Recommendations

article image
article image