programme of work of the WPFS for the biennium 2011-2012 By Michèle Chavoix-Mannato STD/NAD WPFS – 29 November - 1 December 2010

Main focus and Priorities of the WPFS to contribute to the deepening of the knowledge of Member countries' financial systems to contribute to a better understanding of the interactions between the "real" economy and financial activities to improve the quality and the timeliness of the financial statistics to improve their international comparability To adapt data collections to users’ needs

Consequences of the recent crisis Acknowledgement of data limitations and gaps Proposals for strengthening data collection efforts Sector data that covers both balance sheets and flows Data to better monitor the vulnerability of economic agents to shocks More frequent and timely data New demands for OECD and WPFS

2011-2012 Biennium PoW The need for quarterly data Work proposed for the next biennium addresses some of the issues highlighted after the crisis: The need for quarterly data The need for relevant indicators The need to fill some methodological gaps

Collection/dissemination of comprehensive financial statistics Efforts focusing on SNA-compatible databases (Financial accounts, statistics on Households and Institutional investors) to increase the periodicity of data to a quarterly basis to improve their content and scope to compile relevant indicators Orientation approved by CSTAT in June 2010 and recorded by CMF in October 2010 New activity relating to full flows of funds and balance sheet accounts (G20 recommendation)

Harmonisation of national statistics across countries Clarification or analysis of underlying statistical and methodological concepts: on securitisation, pension funds, valuation of shares ******* Exchange of information and experience New concepts (SNA methodology) Best practices in the compilation of financial statistics: micro-macro data, ageing population

of key non-Member countries Enhanced engagement of key non-Member countries Incorporation of new countries: accession countries: Estonia, Russia enhanced engagement countries: BIICS two other G20 countries: Argentina, Saudi Arabia

Funding issues for the Bank profitability database Continuous effort to improve the timeliness of the publication and to define more relevant indicators BUT Reorientation of the OECD financial statistics towards an increase in periodicity and upgrading of the SNA-related databases funding gap for the work on bank profitability (not directly related to the SNA)

Funding issues for the Bank profitability database No longer be possible to continue the data collection on bank profitability unless new funding Questions to the CMF: on the priority attached to the continuation of this database and on ways to secure long-term funding Resume of discussions at the 2011 CMF April session Final decision to be taken at the CMF 2011 autumn meeting For CSTAT: this activity will be subordinated to the availability of additional resources

OECD countries’ feedback on the working practices Improving WPFS work to develop a Web link to better communicate web link for the meetings web link for the archives to interact with the financial community possible for Workshops to regularly organise specific workshops of experts examples: valuation of shares, implementation of SNA 2008, measurement of pensions

OECD countries’ feedback on the working priorities Ranking WPFS future activities - top activities Objective: data collection/dissemination Financial Accounts; Households’ wealth; Full balance sheet Objective: harmonisation across countries Pension funds; Securitisation process; Unquoted shares Objective: Exchange of information/experience SNA methodology; Responses to financial challenges Proposals for additional projects activities Pensions statistics: comparison of various databases

Conclusion -1 Collection/Dissemination of Statistics Focus on the SNA related databases (Financial Accounts & Balance Sheets, Households’ assets & liabilities and Institutional Investors’ assets) Collection of Quarterly data for these three databases Addition of the new activity on ‘Full flow of funds and balance sheet accounts’ Suspension of work on Bank Profitability if no additional resources

Conclusion - 2 Harmonisation of national statistics workshops to be organised to exchange country practices: ‘Pension funds’ and/or ‘Valuation of Shares’ and/or ‘Implementation of SNA 2008’ Exchange of information and experience SNA methodology and responses to financial challenges Examination and quality assessment of financial statistics of non-Member countries

Delegates are invited to further discuss the 2011-2012 Programme of Work of the Working Party on Financial Statistics to agree on the final list of activities to be carried out during the next biennium to communicate with their CMF colleagues concerning the issue of lack of resources