1. CHALLENGES AND OPPORTUNITIES IN THE COORDINATION OF A DECENTRALIZED STATISTICAL SYSTEM NATIONAL STATISTICAL COORDINATION BOARD By Romulo A. Virola Secretary General, NSCB, Philippines Seminar on the Evolution of National Statistical Systems Prospects and Risks in the Future: How to Manage Uncertainties? UN Statistical Commission 23 February 2007 1

2. NATIONAL STATISTICAL COORDINATION BOARD r.a.virola 23 february 2007 Outline of Presentation I.Introduction II.Coordination Mechanisms of the Philippine Statistical System (PSS) III.Challenges & Opportunities in Coordinating the PSS A. General Considerations B. Data production, dissemination and use C. Capacity building D. Financing of statistical development E. Building trust & maintaining integrity 2

3. NATIONAL STATISTICAL COORDINATION BOARD r.a.virola 23 february 2007 National Statistical Systems (NSS) are “centralized” or “decentralized” Centralized – e.g. Australia, Canada, China, India, New Zealand, Sri Lanka Decentralized – e.g. France, Japan, Korea, Philippines, Sweden, United Kingdom, United States I. Introduction 3

4. NATIONAL STATISTICAL COORDINATION BOARD r.a.virola 23 february 2007 Centralized can be more efficient but decentralized can be more effective Blurred boundary between centralized and decentralized Culture-bound: what works in some countries does not necessarily work in others; cultural transformation needed I. Introduction 4

5. NATIONAL STATISTICAL COORDINATION BOARD r.a.virola 23 february 2007 Difficult to pinpoint any unambiguous reason why countries should put in place either centralized or decentralized statistical systems (PARIS 21) FPOS #8: Coordination among statistical agencies within countries is essential to achieve consistency and efficiency in the statistical system I. Introduction 5

6. NATIONAL STATISTICAL COORDINATION BOARD r.a.virola 23 february 2007 When coordination of the national statistical system is the responsibility of the NSO  Core data production function of the NSO can suffer  Imbalance in the statistical development of the national statistical system I. Introduction 6

7. NATIONAL STATISTICAL COORDINATION BOARD r.a.virola 23 february 2007 A decentralized statistical system with NSCB as the policymaking and coordinating body NSCB as coordinator is not engaged in primary data collection 7 II. Coordination Mechanisms of the PSS

8. NATIONAL STATISTICAL COORDINATION BOARD r.a.virola 23 february 2007 NSCB Executive Board - chaired by the Secretary of Socioeconomic Planning and composed of undersecretaries of different departments with NSCB Technical Staff as the secretariat; holds quarterly meetings Regional Statistical Coordination Committee in all regions and Provincial Statistical Coordination Committee in selected provinces with NSCB Regional Divisions as the secretariat 8 II. Coordination Mechanisms of the PSS

9. NATIONAL STATISTICAL COORDINATION BOARD r.a.virola 23 february 2007 A.Statistical planning and coordination 1.Statistical policies 2.Philippine Statistical Development Program (2005-2010)- NSDS 3.System of Designated Statistics 4.Statistical frameworks and indicator systems (SNA, STATDEV,MDG, etc.) 5.Statistical standards and classification systems II. Coordination Mechanisms of the PSS 9

10. NATIONAL STATISTICAL COORDINATION BOARD r.a.virola 23 february 2007 A.Statistical planning and coordination 6.Statistical budget review 7.Statistical Survey & Administrative Records Review and Clearance System 8.Interagency/Technical Committees and Task Forces 9.Agency statistical calendars II. Coordination Mechanisms of the PSS 10

11. NATIONAL STATISTICAL COORDINATION BOARD r.a.virola 23 february 2007 A.Statistical planning and coordination 10.Bilateral meetings 11.Performance Measurement Scheme for Statistical Agencies and Other Data Producers 12.Hosting of international conferences/meetings II. Coordination Mechanisms of the PSS 11

12. NATIONAL STATISTICAL COORDINATION BOARD r.a.virola 23 february 2007 B.Statistical information dissemination 1. National Statistical Information Center 2.Standards & Policies for Statistical Information Dissemination – GSAP/GSSID 3.Press releases/articles/website II. Coordination Mechanisms of the PSS 12

13. NATIONAL STATISTICAL COORDINATION BOARD r.a.virola 23 february 2007 C.Statistical advocacy 1.National Statistics Month – every October which includes statistical oratorical contest for fourth year high school students 2.Press conferences, producers’ and users’ fora – collaboration among PSS agencies II. Coordination Mechanisms of the PSS 13

14. NATIONAL STATISTICAL COORDINATION BOARD r.a.virola 23 february 2007 C.Statistical advocacy 3.Statistical Conferences 3.1. National Convention on Statistics – every three years 3.2. Statistical Congress –Western Visayas and Mindanao 3.3. Philippine Statistical Association, Inter/Intra University II. Coordination Mechanisms of the PSS 14

15. NATIONAL STATISTICAL COORDINATION BOARD r.a.virola 23 february 2007 C.Statistical advocacy 4.Philippine Statistics Quiz – annual for first year college students 5.Feedback/evaluation mechanisms II. Coordination Mechanisms of the PSS 15

16. NATIONAL STATISTICAL COORDINATION BOARD r.a.virola 23 february 2007 A. General Considerations 1. Opportunities thru the compilation of the SNA as a powerful tool for statistical coordination 2. Unhealthy attitude towards coordination – institutional jealousies 3. Need of statistical units in line ministries 4. Low salaries of statistical personnel III. Challenges and Opportunities 16

17. NATIONAL STATISTICAL COORDINATION BOARD r.a.virola 23 february 2007 A. General Considerations 5. Strong partnership and collaboration with the academic and research communities 6. Strong cooperation and interest towards statistical development of many sectoral ministries 7. Low budget for statistics – 0.55% of total government budget in 1992 to 0.32% in 2005 III. Challenges and Opportunities 17

18. NATIONAL STATISTICAL COORDINATION BOARD r.a.virola 23 february 2007 B. Data production, dissemination and use 1.Data production 1.1 Need to have widely acceptable statistical frameworks – responding to questions on the integrity and objectivity of official statistics 1.2. Need to further enhance and strengthen the monitoring and coordination of the PSS, specifically the system of designated statistics III. Challenges and Opportunities 18

19. NATIONAL STATISTICAL COORDINATION BOARD r.a.virola 23 february 2007 1. Data production 1.3 Need to strengthen compliance to statistical policies and standards and classifications, especially at the subnational level 1.4.Need to respond to data demands with finer disaggregation – subprovincial, basic sectors III. Challenges and Opportunities 19

20. NATIONAL STATISTICAL COORDINATION BOARD r.a.virola 23 february 2007 1. Data production 1.5 Need for methodological improvements especially of major surveys and compilation systems 1.6 Use of proxy indicators 1.7. Need to rationalize and design more cost-effective surveys and strengthen the use of the administrative-based statistics III. Challenges and Opportunities 20

21. NATIONAL STATISTICAL COORDINATION BOARD r.a.virola 23 february 2007 1. Data production 1.8. Responding to international data initiatives versus national priorities amidst resource constraints 1.9. Enhancing relevance thru involvement of statistical offices in new frontiers like measurement of democracy, human rights and governance (METAGORA) 1.10 Need to be proactive in addressing emerging concerns III. Challenges and Opportunities 21

22. NATIONAL STATISTICAL COORDINATION BOARD r.a.virola 23 february 2007 2.Data dissemination 2.1 Need to strengthen advocacy on the use of best practices among the agencies in the PSS, such as dissemination of ARC, metadata and revision policies and transparency of methodologies 2.2 Need to develop a culture of information sharing within and among the various departments III. Challenges and Opportunities 22

23. NATIONAL STATISTICAL COORDINATION BOARD r.a.virola 23 february 2007 2.Data dissemination 2.3 Need for pricing policy on statistical products and services 2.4 Need to develop marketing skills of statistical agencies III. Challenges and Opportunities 23

24. NATIONAL STATISTICAL COORDINATION BOARD r.a.virola 23 february 2007 3.Data use 3.1 Need to evaluate users’ demand for the generation of lower/specific disaggregations of data to consider resource requirements & constraints 3.2 Need for greater advocacy for and documentation of actual policy uses of statistics (PARIS 21 initiatives) 3.3Need to generate public use files III. Challenges and Opportunities 24

25. NATIONAL STATISTICAL COORDINATION BOARD r.a.virola 23 february 2007 3.Data use 3.4Need to provide commentary on the erroneous interpretation and misuse of statistics within the shortest possible time (FPOS #4) 3.5 Need to continue building confidence on statistics by maintaining the integrity and independence of the statistical system III. Challenges and Opportunities 25

26. NATIONAL STATISTICAL COORDINATION BOARD r.a.virola 23 february 2007 C. Capacity building 1.Need for continuous capacity building of data producers 1.1 At the national and especially at the subnational levels 1.2 The major data producers (NSO) and particularly the statistical units in line ministries 1.3 On data production but also on use of statistics III. Challenges and Opportunities 26

27. NATIONAL STATISTICAL COORDINATION BOARD r.a.virola 23 february 2007 C. Capacity building 2.Need for capacity building of data users including the media 2.1 How to use and interpret statistics 2.2 Appreciating the limitations of statistics generated by the PSS 3. Need to strengthen the capability of agencies to undertake statistical researches III. Challenges and Opportunities 27

28. NATIONAL STATISTICAL COORDINATION BOARD r.a.virola 23 february 2007 C. Capacity building 4.Inadequate government resources to undertake statistical capacity building programs 5.Loss of trained statistical personnel including to statistical agencies of foreign countries and to international organizations 6.Implementation of the Scientific Career System for Statisticians III. Challenges and Opportunities 28

29. NATIONAL STATISTICAL COORDINATION BOARD r.a.virola 23 february 2007 D. Financing of statistical development 1.Inadequate government appropriations for statistical activities, particularly for periodic activities 2.Inadequate financial resources to undertake developmental activities or address emerging concerns III. Challenges and Opportunities 29

30. NATIONAL STATISTICAL COORDINATION BOARD r.a.virola 23 february 2007 D. Financing of statistical development 3.Availability of technical and financial assistance through foreign grants to undertake developmental activities but institutionalization of the activities could not be ensured 4.Opportunities for Cost-sharing with Local Government Units III. Challenges and Opportunities 30

31. NATIONAL STATISTICAL COORDINATION BOARD r.a.virola 23 february 2007 D. Financing of statistical development 5.Cost-sharing with Users of statistics. 6.Need for the private sector to share the cost of statistics 7.Need to draw eminent persons as champions of statistics 8.Need to muster political will on the part of government to invest in statistics III. Challenges and Opportunities 31

32. NATIONAL STATISTICAL COORDINATION BOARD r.a.virola 23 february 2007 E. Building trust and maintaining the integrity of the national statistical system Challenges:  Natural distrust for government  Politicians flame the fire of distrust  Government officials intentionally/unintentionally contribute to the problem III. Challenges and Opportunities 32

33. NATIONAL STATISTICAL COORDINATION BOARD r.a.virola 23 february 2007 E. Building trust and maintaining the integrity of the national statistical system Challenges:  Estimates by international organizations inconsistent with national estimates can damage the credibility of national statistical agencies  “Conflicting” estimates from different statistical agencies III. Challenges and Opportunities 33

34. NATIONAL STATISTICAL COORDINATION BOARD r.a.virola 23 february 2007 3.5 Building trust and maintaining integrity of the national statistical system Challenges:  Lack of appreciation by official statisticians on the need to build public trust in statistics  Questions on the professional integrity of the Chief Statistician III. Challenges and Opportunities 34

35. NATIONAL STATISTICAL COORDINATION BOARD r.a.virola 23 february 2007 3.5 Building trust and maintaining integrity of the national statistical system Opportunities:  Strict adherence to FPOS  Transparency in Methodologies/Revision Policies  Adopting Best Practices (production and dissemination of data) III. Challenges and Opportunities 35

36. NATIONAL STATISTICAL COORDINATION BOARD r.a.virola 23 february 2007 3.5 Building trust and maintaining integrity of the national statistical system Opportunities:  Conduct of Users-Producers Fora  Use of ICT  Draw in partners/statistical advocates from the academic and research communities, the private sector and the media III. Challenges and Opportunities 36

37. NATIONAL STATISTICAL COORDINATION BOARD r.a.virola 23 february 2007 THERE ARE MANY INTERESTING CHALLENGES AND OPPORTUNITIES FOR STATISTICAL AGENCIES IN THE PHILIPPINES TO ENHANCE OUR RELEVANCE TO SOCIETY AND HUMAN DEVELOPMENT BUT THERE ARE TOO FEW WORKERS! III. Challenges and Opportunities 37

38. NATIONAL STATISTICAL COORDINATION BOARD CHALLENGES AND OPPORTUNITIES IN THE COORDINATION OF A DECENTRALIZED STATISTICAL SYSTEM www.nscb.gov.ph Visit our website at: r.a. virola 23 february 2007 38