Euro area statistics · Rubric EU National Central Banks ECB EU National Statistical Institutes Responsibility •General economic statistics •Non-economic statistics

Aurel SchubertDirector General Statistics

Euro area statistics:achievements and

challenges

Joint Seminar on Central Bank Statistics

Bali, 20 and 21 March 2017

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EU Member Stateswhich have adoptedthe euro

Economic and Monetary Union(EMU)

EU Member Stateswith a special status

EU Member Stateswith a derogation

FI

BELU

NL

DE

FR

ESPT

IT

AT

SL

MT

BG

ROHU

PL

CZ

SK

EE

LV

LT

SE

DK

UKIE

CY

GR

HR

European integration

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Key characteristics of the euro area

Sources: for euro area and EU: ECB, Eurostat, national sources, IMF, World Bank and ECB calculations; for the United States, Japan and China: national sources, IMF, World Bank and ECB calculations.

* Purchasing Power Standards (PPSs) in euro, calculated on the basis of PPP rates relative to the euro area (Euro 19 = 1).

Total population (millions)

GDP (PPP*, € trillions)

GDP per capita (PPP*, € thousands)

Share of world GDP (PPP*, %)

Exports (goods and services, % of GDP)

Gross fixed capital formation (% of GDP)

Gross saving (% of GDP)

Reference year: 2015 (2014)

339

10.5

30.8

12.0

27.5

19.7

23.1

510

14.8

29.0

16.9

17.9

19.5

21.1

322

13.5

42.0

15.7

12.5

19.8

17.8

127

3.7

28.8

4.5

17.9

23.4

22.5

1,375

14.9

10.8

17.2

22.1

44.0

48.7

€ -19 EU-28

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2 ECB’s production of statistics as a team effort

1 Increased policy relevance of central bank statistics

3 Responding to new data demands

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3.1 More micro and granular data

3.2 Standardisation

3.3 Integration

3.4 Improving communication of ESCB statistics

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“Policy-making and, indeed, decision-

making are only as good as the

information on which they are based”

Seventh ECB Statistics Conference, Frankfurt am Main, 15 October 2014

https://www.ecb.europa.eu/press/key/date/2014/html/sp141015.en.html

ECB President Mario Draghi

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Increased policy relevance of central bank statistics

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ESCB statistics are vital for:

• ECB’s monetary policy

• Other (growing number of) policy functions

financial stability, systemic risk and macro-prudential surveillance, payment

systems oversight, risk management, banking supervision


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Statistical support to the Single Supervisory Mechanism (SSM)

Statistical support to the European Systemic Risk Board (ESRB)

ESCB contributes to G-20 initiatives to close global data gaps

ESCB statistics are also a public good


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•

• The EU reforms following the crisis

• Use indicators as alert mechanisms (early warning tools) and to

enforce policy compliance

Financial supervisorypolicies

Fiscalpolicies

Macro-economicpolicies

Statistics are key to EU policy-makers’ decisions


ESRB“Risk-Dashboard”

For macro-prudentialpolicy

Commission scoreboard for

“macro-imbalance” procedure

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3.2 Standardisation

3.3 Integration


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European statistics by the ESCB

European statistics produced by Eurostat and national statistical offices

(e.g. GDP, HICP, labour market and short-term business statistics)

Increasingly in close interaction with Supervisory Authorities

Principal Global Indicators: BIS, ECB, Eurostat, IMF, OECD, WB

Commercial data providers and market sources

Monetary and financial statistics

External statistics

Securities statistics

Quarterly euro area accounts

Supervisory data

Other statistics

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Other statistics

by the ESCB

ECB is a big user and a big producer of statistics

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EU National Central Banks

ECB

EU National StatisticalInstitutes

Responsibility

• General economic statistics

• Non-economic statistics

• Monetary and Financial statistics

• Quarterly financial accounts

• Financial stability statistics

• Supervisory statistics

Memorandum of Understanding

Committee for Monetary, Financial and Balance of Payments Statistics

European System of Central Banks (ESCB) /

Eurosystem

European

Statistiscal System

(ESS)

European Statistical ForumStatistics Committee

European Statistical System Committee

Responsibility

ECB’s production of statistics as a team effort

Shared responsibilities• Balance of Payments• European Sector Accounts • Statistical Infrastructure

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Two statistical systems

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Harmonisation and cross-country comparability are essential

team effort Network of National Central Banks/National (Supervisory) Competent Authorities

- Perform tasks in accordance with EU/ECB legal acts

- Responsibility for meeting the ECB’s/SSM requirement

- Collect data from reporting agents, other national statistical authorities,other national sources

ECB:

- Quality assurance, compilation and publication of euro area aggregates

Shared tasks:

- Conceptual/development work, development of legal/technical infrastructure(ECB in lead)

- Participation in European/international statistical committees


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Compiling euro area aggregates

• Usual approach: build from national contributions

• Importance of: harmonisation of the national contributions

• Some euro area aggregates are a simple sum of (harmonised) national data,

but some are not

• National money stock includes deposits held by residents with banks located in the

country concerned. Euro area money stock includes deposits held by residents of

all euro area countries with banks (MFIs) anywhere in the euro area

it exceeds the sum of national money stocks

by the amount of cross-border depositing within the euro area

• National balance of payments statistics measure all cross-border transactions of

residents of the country concerned

– the euro area b.o.p. excludes cross-border transactions within the euro area

– gross flows in the euro area b.o.p. fall short of the sum of national b.o.p. flows

by the amount of these cross-border flows within the area

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Core ESCB/Eurosystem statistics 1/2

Monetary & financial statistics

• Monetary aggregates and counterparts

• Balance sheet statistics of

Monetary Financial Institutions MFIs

Investment Funds IFs

Financial Vehicle Corporations FVCs

Insurance Corporations - ICs, and Pension Funds - PFs

• Statistics on average interest rates: deposits from / loans to firms deposits from / loans to households for consumption or housing;

• Financial markets price and volume, yield curves, payments and securities settlement statistics, measuring policy transmission and financial integration

• Financial stability statistics and indicators – also to support the ESRB and the SSM, Financial integration indicators, STEP Market statistics

External statistics

• Balance of payments, international investment position (incl. international reserves), effective exchange rates, international role of the euro

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Core ESCB/Eurosystem statistics 2/2

Euro area accounts• Integrated quarterly accounts (non-financial and financial) by institutional sector

encompassing transactions, other flows and balance sheets

Government finance statistics• Revenue, expenditure, deficit, debt, deficit-debt adjustment

Surveys• Survey on access to finance of Small and Medium Enterprises in the euro area

• Household Finance and Consumption Survey

General economic statistics• Seasonally adjusted HICP, residential property price, short-term indicators,

timely labour market statistics (e.g. euro area negotiated wages developments)

Supervisory statistics• Financial Reporting (FINREP), Common Reporting (COREP), etc.

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3.2 Standardisation

3.3 Integration


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Phase B – May 2010Sovereign debt crisis and again banking crisis

Phase A - post Lehman Brothers – Sept 2008banks’ rescue, government guarantees

EU Financial SupervisionESAs/ESRB - Nov 2010

Phase C - May 2012Banking Union announced

ECB’s banking supervision – Nov 2014

2008 2009 2010 2011 2012 2013 2014

Single Resolution Board – Jan 2015

2015

Single Resolution Fund – Jan 2016

2016

New data demands resulting from the crisis

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• ECB’s new responsibilities for macro- and micro-prudential policies

• Heterogeneity: relevance of country and sectoral imbalances

• Market fragmentation and complexity of financial instruments

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ESCBstatistics

ECB’s Monetary Policy

Banking Supervision

(SSM)

Macro prudential policies

(ECB, ESRB)

New data demands resulting from the crisis

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More detailed data

• Country data

• Micro-databases

• Distributional data

• Reporting burden

• Confidentiality

• Compiler’s resources

Increasingdemands

Facingconstraints

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Responding to new demands

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3.2 Standardisation

3.3 Integration


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Operation

Development

• Individual banks’ balance sheet and interest rates

• Register of (financial) institutions and affiliates database (RIAD)

• Granular securities databases

- Centralised Securities Database (CSDB)

- Securities Holdings Statistics (SHS)

• Money Market Statistical Reporting

• Small and Medium Enterprises (SME) Access to Finance

• Survey on household finance & consumption

• Analytical granular credit and credit risk datasets (loan-by-loan) AnaCredit

• Securities Holding statistics for Large Banking Groups (LBGs)

• RIAD incl. corporates (as borrowers and guarantors in credit)

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More micro-data

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Money market statistical reporting (MMSR)

individual transactions relating to various segments of

the money market

• When? started 1 April 2016

• What? daily operations on a transaction-by-transaction basis in four market segments: secured, unsecured, FX swaps and OIS

• Who? 52 largest banks in the euro area

• Why? information on the transmission mechanism of monetary policy decisions; provide information to market participants on market functioning

• Legal basis? ECB Regulation ECB/2014/48

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Micro-data on markets

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Micro-data on a “security-by-security” basis

Centralised Securities Database (CSDB)

-Who issues what?

Securities Holdings Statistics Database (SHSDB)

-Who holds what?

Example:Issuer A issues a security B which is held by Holder C at the amount of X EUR

Issuer referencedata

Issuer identifier

Issuer name

Issuer sector

Issuer country

…

Instrument reference data

Instr. Identifier

Instrument type

Amount outstanding

Price

…

Holder referencedata

Sector

Country

…

…

…

Holding data

Holding amount

Amount type

Valuation type

Consolidation flag

…

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Analytical Credit Dataset (AnaCredit)

Multipurpose set of harmonised granular data on credit

and credit risk

• When? to be implemented in a stepwise approach; the first stage to be introduced in September 2018

• What? bank loans (and guarantees) to legal entities above €25,000e.g. non-financial corporations (not households, at least in the first stage!)

• Who? all banks in the euro area

• For whom? central banking purposes e.g. monetary policy, research, risk management, macro-prudential supervision… and statistics

• Legal basis? ECB Regulation 2016/13

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Micro-data on loans

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3.2 Standardisation

3.3 Integration


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Standardisation

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ECB statistics conform to the extent possible to and influence on international standards for macro statistics

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Legal Entity Identifier (LEI)

Unique Trade and Product Identifier (UTI, UPI)

Money Market Statistical Reporting (MMSR) is

ISO 20022 standard compliant

• ISO approved in January 2016 MMSR messages

for being officially and globally recognised

ECB supports and contributes to develop standards for micro statistics

Standardisation

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3.1 More micro-data

3.2 Standardisation

3.3 Integration


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“The big challenge for statistics in the

coming years is not only “many more

numbers”, but, perhaps much more so,

the reconciliation of statistical

information collected in support of

monetary policy and financial stability

with the until now rather separate world

of supervisory information”

Seventh ECB Statistics Conference, Frankfurt am Main, 15 October 2014

https://www.ecb.europa.eu/press/key/date/2014/html/sp141015.en.html

ECB President Mario Draghi

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Integration

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IntegrationLong-term harmonisation

managing different areas of statistical and supervision information as parts of a single system

of practices, methodologies and processes currently followed for data production

Integration

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Integration

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Three key elements

Banks’ Integrated Reporting Dictionary (BIRD)

Common language with the industry

Logical description of data at the banks and transformation rules to produce existing reports

European Reporting Framework (ERF)

“One report” replacing the multiple, overlapping reports

Vision: single and integrated ERF for ECB and EBA (ITS)

ECB Single Data Dictionary (SDD)

Common language within the ECB

Methodological and semantic integration of existing European reporting frameworks

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IntegrationIntegration

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Pri

mary

Data

(Op

era

tio

nal

Syste

m)

Rep

ort

ing

data

ware

ho

use

Pri

mary

Rep

ort

s (

ER

F)

Seco

nd

ary

Rep

ort

s

Banks NCB/NCAs ECB

Transformations by banks

Transformations by banks

Transformations by NCBs/ NCAs

Bank Integrated Reporting Dictionary (BIRD)

ECB’s Single Data Dictionary (SDD)

Transformations defined by banks

Transformations defined by banks and authorities in

close collaboration

The Role of BIRD, ERF and SDD

European Reporting Framework (ERF)

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Integration

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3.1 More micro-data

3.2 Standardisation

3.3 Integration


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Strategy: multiple channels & user-friendly access

ECB website

• Press releases

• Interactive graphics

• Publications

Statistical Data Warehousehttp://sdw.ecb.europa.eu

“Our statistics” website https://www.euro-area-statistics.org/

• NEW!! - Insight to Euro area statistics

ECB statistical tablet app

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Improving communication of ESCB statistics

https://www.euro-area-statistics.org/





http://sdw.ecb.europa.eu/

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Principal Global Indicators

Improving communication of ESCB statistics at G-20 level

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• “Insights to euro area statistics” presents a new statistical conceptproviding descriptive statistics supported by visualizations

Statistics highlight

Visualisation

Reuse the data

Improving communication of ESCB statistics -Insights to euro area

statistics

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Thanks you for your attention!!

Any questions

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Annex

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Article 338.1 TFEU Article 5 ESCB/ECB Statute

ECB legal actsadopted by the ECB Governing Council

Treaty of the EU

European Statistical SystemCouncil Regulation 223/09

European System of Central BanksCouncil Regulation 2533/98

ESCB

Teamwork of two European statistical systems cooperating under separate legal frameworks

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Regulations adopted by European Parliament and Council

Treaty on the Functioning of the EU

Committee for Monetary, Financial

& Balance of Payments Statistics

European Statistical

Forum

ESS

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ESCB Statistics Committee (STC) and its Working Groups

are at the core of the production of ESCB statistics

ESCB Statistics Committee (STC)

ECB Executive Board

ECB Governing and General Councils

Decision-making bodies for ECB statistics

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WG on Monetary and

Financial Statistics

WG on Euro Area Accounts

WG on External Statistics

WG on General

Economic Statistics

WG on Government

Finance Statistics

WG on Statistical

Information Managemen

t

WG on Securities Statistics

WG on AnaCredit

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• European System of Accounts (2010)

… complemented by legal definitions, compilation guides and

manuals, at international and European level

• System of National Accounts (2008) and other manuals

– IMF Balance of Payments Manual, 6th edition (2009)

– IMF Monetary and Financial Statistics Manual and Compilation Guide: prepublication draft (MFSM 2016)

– IMF Government Finance Statistics Manual (GFSM 2014)

• ECB/ESCB Statistics implemented in full the new standards

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Complying with international statistical standards

Documents

Euro area statistics · Rubric EU National Central Banks ECB EU National Statistical Institutes Responsibility •General economic statistics •Non-economic statistics