the services sector in the philippine system of national accounts (psna)

International Workshop From Data to Accounts: Measuring Production in National Accounting Beijing, ChinaMFM Talento/ 8-10-June 2009

Republic of the PhilippinesNATIONAL STATISTICAL COORDINATION BOARD1

The Services Sector in the Philippine System of

National Accounts (PSNA)By

MARIA FE M. TALENTO Division Head, Economic Statistics Office



I. Current PSNA II. Scope/Coverage of the Services sector

III. Sources of Data IV. Estimation Methodology

V. Issues/Concerns

Outline of PresentationOutline of Presentation



Current PSNACurrent PSNA

Measurement of GDP: 3 approaches

• Production Approach, GDP (P)

• Expenditure Approach, GDP (E)

• Income Approach, GDP (I) (compiled annually)



Current PSNACurrent PSNA

• Quarterly & Annual estimates: the PSNA compilation uses the production & expenditure approaches

• Both sides of the accounts are estimated independently

• GDP growth rate is based on the production accounts

• Constant Price estimates: uses the fixed-based year method



Scope of the Services Scope of the Services sectorsector

• Transportation, Communications and Storage

- Land transport

- Water transport

- Air transport

- Storage and Services Incidental to Transport

- Communication• Trade

- Wholesale

- Retail• Finance

- Banks

- Non-banks



Scope of the Services Scope of the Services sectorsector

- Insurance• Ownership of Dwellings and Real Estate

- Ownership of Dwellings

- Real Estate• Private Services

- Educational

- Medical and Health

- Business

- Recreational

- Hotel and Restaurant

- Others• Government Services



Census/Surveys from National Statistics Office

- Census of Philippine Business & Industry

(CPBI)

- Annual Survey of Philippine Business

and Industry (ASPBI)

- Quarterly Survey of Philippine Business

and Industry (QSPBI)

- Quarterly Labor Force Survey (LFS)

Main Source of Data Main Source of Data



• Administrative-based data

Quarterly Financial Reports from - Securities and Exchange Commission

(SEC) for key players of the Services sectors

TCS:

- Department of Trade and Communications

(data on the Metro Rail Transit; Light Rail

Transit Authority, Philippine National

Railways; Megatren

Other Sources of Other Sources of Data Data



- Civil Aeronautics Board (for local airlines)

ODRE:

- National Disaster Coordinating Council

(report on Damages of totally destroyed

houses) indicator for housing reductions

- National Statistics Office

(approved building permits for residential

construction) indicator for housing additions

Administrative-based Administrative-based Data Data



FINANCE:

- Bangko Sentral ng Pilipinas

(consolidated income and expense

statements of all banks)

- Insurance Commission

(income and expense statements of private

life and non-life insurance companies)

- Commission on Audit (COA)

(financial reports of Government Financial

Corporations and the Government Service

Insurance System (GSIS)




PRIVATE SERVICES:

- Department of Tourism

(hotel occupancy rate)




GOVERNMENT SERVICES:

- Dept. of Budget and Management (actual cash disbursement; budget of expenditure

and sources of financing)-Quarterly

- Commission on Audit (annual financial report for national and local gov’t )

- Social Security System and the Government Service

Insurance System (GSIS)

(annual financial reports)




• Industry Associations

Private Services:

- Business Processing Association of the Philippines (BPAP)

(data on revenues and employment of Business Processing Outsourcing (BPO) companies

• Report of Private Companies

- Revenue of Selected Fast-Food Chains

Other Sources of Other Sources of Data Data



Estimation MethodologyEstimation Methodology

(excluding Ownership of Dwellings & Gov’t services)

Annual Estimates: GVA at Current

1. Organized sector:

GVAO = GO – II

where: GO = Gross Output

II = Intermediate Input



Estimation MethodologyEstimation Methodology Annual Estimates : GVA at Current

2. Unorganized sector:

GVAU = GVAES * (ELFS - EASPBI)

where:

GVAES = GVA per employee of small establishments from

the ASPBI

ELFS = Number of employed persons from the

Labor Force Survey (LFS)

EASPBI = Number of employed persons from the ASPBI




Annual Estimates – GVA at Current Prices of Services:

GVAt = GVA Organized + Unorganized



-Single deflation using appropriate price indices by sector

Constant Price EstimationConstant Price Estimation

GVA K =

GVA k( O+U )

IPIN ij

where:

IPINij = IPIN i(j-1) x Inflation Rate



In the absence of annual surveys, use:

Extrapolation using output indicator (Gross Revenue from QSPBI) year-on-year growth

Current Price EstimationCurrent Price Estimation

GVAij = GVAi(j-1) x QSPBI(gr) ij

where:

i = ith quarter

j = jth year

QSPBI(gr) = Revenue ij / Revenue I(j-1)



TCS: CPI for transportation, CPI for communication and CPI for storage

Trade: Wholesale - Wholesale Price Index Retail - Retail Price Index

Finance, Real Estate and Private Services : - CPI all items

Constant Price EstimationConstant Price Estimation




Ownership of Dwellings:

Annual Estimates : starts at GVA Constant

GVAk = GVAk (previous year) * trend of Housing Stocks where:

Housing stock (in sq/m) = housing stock of the previous year + housing additions – housing reductions




Housing additions = housing additions of the

previous year * trend of the building permits

(floor area)

Housing reductions = number of totally damaged houses * 15 sq/m

(15 sq/m represents the average size of housing

units that are most susceptible to total damages)




Annual Estimates : GVA Current

GVAt = GVAk * IPINt

where:

IPINt = IPINt-1 * trend of CPI for rentals




Government Services:

Annual Estimates : GVA at Current

GVA = CE + CCA + IT where: CE = compensation of employees CCA = Depreciation IT = Indirect Taxes




Government Services:

Annual Estimates: GVA at Constant prices

GVAk = GVAt

average earnings index

where: average earnings index = total compensation divided by the number of gov’t employees



Issues/ConcernsIssues/Concerns

A. Data ProblemsA. Data Problems

• Time lag and consistency of survey resultsTime lag and consistency of survey results

B. Coverage IssueB. Coverage Issue

Emerging Industries Births and deaths of establishments

C. Measurement Problems (Methodological)C. Measurement Problems (Methodological)

• Measuring Quality ChangeMeasuring Quality Change the case of high technology servicesthe case of high technology services



THANK YOUTHANK YOU

the services sector in the philippine system of national accounts (psna)

Documents