Final Report Presentation

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THE COMPILATION OF FLOW OF FUNDS STATISTICS IN
INDONESIA
Contributed to the Discussion of Working Party on
Financial Statistics (WPFS) Meeting and Workshop
on the Implementation of the SNA 2008
Hendy Sulistiowaty Eko Ariantoro
Paris, October 24-27th 2011
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O U T L I N E
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BASIC CONCEPT OF FOF CONSTRUCTION
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THE INDONESIAN FOF STATISTICS

• FLOW OF FUNDS is a data system which is designed
  to describe net lending and net borrowing among
  institutional sectors, and financial transaction
  activities using various financial instruments.
• Indonesian FOF is constructed in the form of
  matrix system.
• The column side represents institutional sectors,
  which divided into 2 columns Financial Uses
  (assets) and Financial Sources (liabilities).
• The row side is divided into 2 rows, ie. above
  the line and below the line, which are separated
  by a row of the net lending/borrowing
  transaction.
• Above the line of FOFs row constitutes Saving
  and Non-Financial Investment (Gross Fixed Capital
  Formation).
• Below the line of FOFs row comprises various
  instruments of financial investment.
• Indonesian FOF statistics has been compiled by
  Statistics Indonesia (BPS) coordinating with Bank
  Indonesia and Ministry of Finance.
• FOF data have been available annualy (8 sectors)
  since 1984, and quarterly (5 sectors) since 2000.

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BASIC FRAMEWORK OF INDONESIAN FOF
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COVERAGE OF INSTITUTIONAL SECTORS
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COVERAGE OF FINANCIAL INSTRUMENTS (1)
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COVERAGE OF FINANCIAL INSTRUMENTS (2)
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COVERAGE OF FINANCIAL INSTRUMENTS (3)
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FINANCIAL DATA COVERAGE Australia FOF Accounts
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FINANCIAL DATA COVERAGE US FOF Accounts
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FOF DATA COVERAGE MFSM Based Financial
Instruments
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DATA SOURCES AVAILABILITY
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COMPILATION PROCESS OF INDONESIAN FOF
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QUARTERLY INDONESIAN FOF, Q1 2011)
Trillion Rp
) Preliminary Figure
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ANNUALY INDONESIAN FOF, 2009
PAGE 1
Trillion Rp
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ANNUALY INDONESIAN FOF, 2009
PAGE 2
Trillion Rp
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INDONESIAN FOF ANALYSIS, Q1 2011)
) Preliminary Figure
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THE NEEDS OF FURTHER IMPROVEMENT
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THE ORGANIZATION OF DATA MANAGEMENT
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A WAY FORWARD
Some Efforts in Compiling Indonesian Sectoral
Accounts

1. The compilation of Indonesian Sectoral Accounts
   will be initiated from the related data
   availability Flow of Funds and Capital Stocks.
2. BI will have coordination with Statistics
   Indonesia (BPS) to define sectors of the economy
   in Indonesia and classification of financial
   instruments non-financial assets.
3. BI and BPS jointly formulate an appropriate
   approach to fill the data gaps between requested
   Sectoral Accounts and the available data in
   Indonesia.
4. The availability of technical assistance from
   international institute (IMF, BIS, WB or OECD) is
   necessary to speed up the progress of
   implementation.
5. The implementation of Indonesian Sectoral
   Accounts will be aligned with countrys timeframe
   in implementing SNA 2008.

• MAIN CHALLENGES
• Among others
• The difficulty in integrating financial and non
  financial accounts
• The problems in adequately covering the
  activities of household and nonfinancial
  corporations
• Limitation balance sheet and sectoral data at
  present

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• A Way Forward
• Possibilities to Compile Sectoral Account
  Financial Assets

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• A Way Forward
• Possibilities to Compile Sectoral Account Non
  Financial Assets

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CONCLUSION REMARKS

• Indonesia has been experienced in compiling FOF
  Statistics and has provided FOF data annualy (8
  sectors) since 1984, and quarterly (5 sectors)
  since 1993.
• The compilation of FOF needs to be further
  improved to harmonize with current statistic
  manual (ie. SNA 2008, MFSM and CG-MFS 2008), and
  to be aligned with other international
  commitment, such as G20 Data Gaps Initiatives.
• Regarding the complexity of FOF compilation, the
  improvement of FOF in Indonesia requires good
  coordination among authorized institutions, ie.
  Bank Indonesia, Statistics Indonesia, Ministry of
  Finance, and Capital Market Financial
  Institution Supervisory Agency.
• In the area of data coverage, the efforts would
  be mostly on collecting data from non-bank
  financial corporations, non financial
  corporations, and Households.
• In the area of conceptual framework, Indonesia
  will initially observe the possibilities to
  compile FOF based on true flows of transaction,
  valuation, and OCVA.
• The improvement of FOF statistics will be
  synchronized with the efforts in the implemention
  of SNA 2008, especially on constructing full
  sequence balance sheet.
• Related to the G-20 Data Gap Initiatives,
  Indonesia is in considerable progress to provide
  G-20 data recommendation and will have a study on
  the compilation of Indonesia sectoral accounts.

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Thank you