1. Special Purpose Entities GGNA, April 29th 2010 Bob Groot Statistics Netherlands Agenda item 6

2. Special Purpose Entities Adjustments Chapter Country experiences

3. Adjustments Discussion May 2009 meeting Main chapter Country experiences Netherlands Ireland Hungary Russia Comments January 2010

4. Chapter 3: SPEs I.Introduction II.Background III.Statistical treatment in international standards IV.Measurement problems V.Proposals for operational treatment in the accounts VI.Recommended future work on SPEs

5. II Background Globalisation SPE Activities have grown So has need for adequate statistical treatment Various reasons for creating SPEs: Securitisation Property investing Financial engineering

6. III Statistical treatment in international standards Types of SPEs Financing and holding companies Royalty and licence companies Lease companies Eurostat Taskforce on the recording of certain activities of MNEs: Entities with little physical presence can be seen as institutional unit

7. IV Measurement problems Room for interpretation by countries Because of low number of employees it is easy for companies to move

8. V Proposals for operational treatment in the accounts Country specific: not one best way! Use of decision tree recommended

9. VI Recommended future work on SPEs Compilation NA including and excluding SPEs Invest in maximisation of data collection

10. Country practices Netherlands Ireland Hungary Russia

11. Netherlands 12.000+ SPEs Included SPEs in NA since 2001 Decision tree Co-operation NSO-National bank Monthly, annual or bi-annual reporting

12. Ireland ‘These types of entities are incorporated into the normal statistical collection and compilation systems.’ Persons/enterprises operating on behalf of enterprise are obliged to complete statistical surveys Quarterly or annual reporting

13. Hungary Stock of financial assets including and excluding SPEs since January 2006 Co-operation NSO-National bank SPE-register, with set criteria Not applied very strictly, case by case assessment SPEs can’t have real economic activities

14. Russia Creation of database on enterprise groups Annual survey Lack of data for parent companies located abroad