1. Informal Sector Statistics
Bhutan
Informal Sector Statistics
Informal Sector Statistics Training
Bangkok, Thailand | November 2017

2. Outline of presentation
Definition of informal sector
Status of the informal sector in your country
Country policies for informal sector
Current statistics being produced
What data sources do you collect?
National Accounts and the informal sector
Country specific issues in statistics
Development plans
How development partners can help

3. Definitions(Policy)
For an establishment to be categorized as “small”, its employment size should be around 5-19 and its investment should be around Nu million.
Without proper book of account
Agriculture & Livestock Sectors
Own account worker ( private business)
No regular/casual paid employees

4. Statistical Definition
Agriculture and Livestock sectors
Private business (without license & registration). Example, Road side vendors, vegetable markets, etc…

5. Status of informal sector statistics
13.84% of GDP (16.52% -primary sector: agriculture, livestock & forestry).
73% of labour force, nature of employment
(own account worker ; agri & non-agri, family worker; agri and non-agri)
Key indicators
SDG 8 & 10 – indicator status

6. Goal 8. Promote sustained, inclusive and sustainable economic growth, full and productive employment and decent work for all
Status
INDICATOR
8.1.1 Annual growth rate of real GDP per capita
10.87% ( )
8.2.1 Annual growth rate of real GDP per employed person
Nu ($ )
8.3.1 Proportion of informal employment in non-agriculture employment, by sex
Male =6.7% & Female=15.5%
8.4.1 Material footprint, material footprint per capita, and material footprint per GDP
8.4.2 Domestic material consumption, domestic material consumption per capita, and domestic material consumption per GDP
8.5.1 Average hourly earnings of female and male employees, by occupation, age and persons with disabilities
8.5.2 Unemployment rate, by sex, age and persons with disabilities
Male=1.8 % & Female=3.1%
8.6.1 Proportion of youth (aged years) not in education, employment or training
8.7.1 Proportion and number of children aged 5-17 years engaged in child labour, by sex and age
8.8.1 Frequency rates of fatal and non-fatal occupational injuries, by sex and migrant status

7. Goal 10. Reduce inequality within and among countries
Status
INDICATOR
Growth rates of household expenditure or income per capita among the bottom 40 per cent of the population and the total population
Total population:32.80%
Proportion of people living below 50 per cent of median income, by age, sex and persons with disabilities
Proportion of the population reporting having personally felt discriminated against or harassed within the previous 12 months on the basis of a ground of discrimination prohibited under international human rights law
Labour share of GDP, comprising wages and social protection transfers
Financial Soundness Indicators
Proportion of members and voting rights of developing countries in international organizations
Recruitment cost borne by employee as a proportion of yearly income earned in country of destination
Number of countries that have implemented well-managed migration policies
10.a.1 Proportion of tariff lines applied to imports from least developed countries and developing countries with zero-tariff
10.b.1 Total resource flows for development, by recipient and donor countries and type of flow (e.g. official development assistance, foreign direct investment and other flows)
10.c.1 Remittance costs as a proportion of the amount remitted

8. Country polices
Labour and Employment Act 2007 promotes creation of employment opportunities including self‐employment.
Cottage, Small and Medium Industry Policy 2012 provides enabling and conducive environment for the growth of CSMI in the country.

9. Polices
National Minimum Wage Policy ensures national minimum wage for all the workers in the country.
Cooperative Act supports formation of cooperatives and farmer’s groups.
Govt. constructing shades for highway vendors

10. Data sources Labour Force Survey, MoLHR Annual Survey
Sample of 6000 households ( urban=4500 and rural=1500).
Covered whole 20 districts
Two staged stratified sampling

11. Data Sources Bhutan Living Standard Survey (BLSS)
Household income from informal sectors
Ex: wages and salaries, sale of agricultural products, pottery and weaving, etc…
- Household survey conducted every after 4-5 years
- covers around 10,000 households
means of assessing the level of poverty and well-being in Bhutan
Population and Housing Census (2017)

12. National Accounts Primary Sector: Agriculture, Livestock & Forestry
Annual Agriculture statistics
Data collected biannually through sample surveys & verification done through crop cuts method
Sample ;19,396 hhds of the total agricultural households of 61,393
Agriculture (crops) share to GDP=9.95%
Annual Livestock Statistics
Collected from 205 Gewogs by extension officers
share to GDP=3.89%

13. Issues No proper definition of informal sector
Exclusion of informal sectors from GDP estimates

14. Development plans for NSO
Plans to develop and enhance informal sector statistics
Economic Census
Statistical Business Register
Please rank the priorities for the development of informal sector statistics
Proper definition of informal sectors
Gathering informal sector statistics
Informing policy makers on the issue of informal sectors

15. Development partners How can the development partners help you?
Case Studies after Economic census & PHCB 2017
Submit the project proposal as and when required (SDG Indicators)

16. Q&A