Chapter

7. Framework for Monetary Statistics

Author(s):
International Monetary Fund
Published Date:
July 2008
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Introduction

The framework for the monetary statistics recommended in this manual embodies two levels of data compilation and presentation. At the first level, stock and flow data reported by individual institutional units are aggregated into sectoral balance sheets, which contain comprehensive data for the individual FCs subsectors—that is, the central bank, other depository corporations, and other FCs. At the second level, the data in the sectoral balance sheets are consolidated into surveys. The data in the sectoral balance sheets are also used in the compilation of the financial statistics, as described in Chapter 8. (MFSM, ¶364)

7.1 This chapter deals with the major facets of implementation of the monetary statistics, including:

  • Data reporting by financial corporations (FCs). Collection and assembly of the data that individual FCs report to the compilers of the monetary statistics.

  • Data compilation. Aggregation of reported data to construct the sectoral balance sheets and consolidation of the sectoral balance sheets to obtain the surveys of the FC sector.

  • Data reporting to the IMF. Reporting of the sectoral-balance-sheet data for analytical use and publication by the IMF.

  • Data dissemination. Release and publication of the monetary data for a country, including publication in the IMF’s International Financial Statistics.

7.2 The generic presentation of the sectoral balance sheet for an FC, as shown in the MFSM, Table 7.1 (pp. 80–86), has been revised with regard to the categories of other accounts receivable/payable and the memorandum items. This chapter also contains recommendations on issues not addressed in the MFSM, including (1) an FC’s data reporting to monetary statistics compilers, (2) central bank reporting of monetary data to the IMF, (3) dissemination of monetary statistics, and (4) disaggregated monetary data to supplement those in the sectoral balance sheets and surveys of FCs.

Table 7.1.OCVA: Central Bank
(A) Changes in Class. of Assets(B) Sectoral Reclassification(C) Write-offs(D) OtherOther Changes in Volume: TotalComments
Assets
Monetary gold and SDRs33
Monetary gold33Commodity gold that was monetized.
Loans−10−10
Public nonfinancial corporations−5−5Write-offs of loans.
Other nonfinancial corporations−3−3Write-offs of loans.
Other resident sectors−2−2Write-offs of loans.
Financial derivatives00
Other depository corporations22OFCs reclassified as ODCs.
Other financial corporations−2−2OFCs reclassified as ODCs.
Nonfinancial assets−3−4−7Commodity gold monetized (–3). Catastrophic loss (–4).
TOTAL00−10−4−14
Liabilities
Currency in circulation
Deposits included in broad money−3−3
Transferable deposits−3−3
In foreign currency−3−3
Other financial corporations−3−3OFCs reclassified as ODCs.
Deposits excluded from broad money33
Transferable deposits33
In foreign currency33
Other depository corporations33OFCs reclassified as ODCs (3).
Financial derivatives00
Other depository corporations22OFCs reclassified as ODCs.
Other financial corporations−2−2OFCs reclassified as ODCs.
Other accounts payable−10−10
Other−10−10
Resident sectors−10−10Write-offs of loans that were previously fully provisioned (–10).
Shares and other equity−4−4
Retained earnings−13−13Catastrophic loss of nonfinancial assets (–4). Reclassification of retained earnings as an appropriation to reserves (–9).
General and special reserves99Reclassification of retained earnings as an appropriation to reserves (9).
TOTAL00−10−4−14
Vertical Check00000

7.3 The numerical examples of surveys of FCs, presented in Annex 7.3 of this chapter, are revised versions of those in the MFSM (Tables 7.27.6, pp. 87–93).1 The revised illustrations of sectoral balance sheets in Appendix I of this Guide are supported by numerical examples of other changes in the volume of assets (OCVA) entries (Annex 7.1) and a presentation of the consolidation adjustments needed in compiling the surveys (Annex 7.2). The illustration of a monetary authorities account (Annex 7.4) is based on the Central Bank Survey (CBS) (Annex 7.3) augmented by numerical examples for three categories of monetary authorities accounts of a central government. An illustrative scheme for the compilation of supplementary data on financial assets and liabilities in more disaggregated form is presented in Annex 7.5.

Table 7.2.OCVA: Other Depository Corporations
(A) Changes in Class. of Assets(B) Sectoral Reclassification(C) Write-offs(D) OtherOther Changes in Volume: TotalComments
Assets
Currency and deposits2424
Currency55
National22OFCs reclassified as ODCs.
Foreign33OFCs reclassified as ODCs.
Transferable deposits1313
In national currency1111
Central bank11OFCs reclassified as ODCs.
Other depository corporations1010OFCs reclassified as ODCs.
In foreign currency22
Central bank11OFCs reclassified as ODCs.
Other depository corporations11OFCs reclassified as ODCs.
Other deposits66
In national currency33
Central bank22OFCs reclassified as ODCs.
Other depository corporations11OFCs reclassified as ODCs.
In foreign currency33
Other depository corporations33OFCs reclassified as ODCs.
Securities other than shares101828
Other depository corporations22OFCs reclassified as ODCs.
Other financial corporations11OFCs reclassified as ODCs.
Central government66OFCs reclassified as ODCs.
State and local government22OFCs reclassified as ODCs.
Public nonfinancial corporations33OFCs reclassified as ODCs.
Other nonfinancial corporations10414Loans reclassified as securities (10). OFCs reclassified as ODCs (4).
Loans−1028−541−523
Public nonfinancial corporations17−71−54OFCs reclassified as ODCs (17).
Write-offs of loans (–71).
Other nonfinancial corporations−105−291−296Loans reclassified as securities (–10). OFCs reclassified as ODCs (5). Write-offs of loans (–291).
Other resident sectors4−179−175OFCs reclassified as ODCs (4). Write-offs of loans (–179).
Nonresidents22OFCs reclassified as ODCs.
Shares and other equity44
Other nonfinancial corporations11OFCs reclassified as ODCs.
Nonresidents33OFCs reclassified as ODCs.
Financial derivatives44
Other depository corporations22OFCs reclassified as ODCs.
Nonresidents22OFCs reclassified as ODCs.
Other accounts receivable55
Trade credit and advances33
Other financial corporations11OFCs reclassified as ODCs.
Other nonfinancial corporations22OFCs reclassified as ODCs.
Other22
Nonresidents22OFCs reclassified as ODCs.
Nonfinancial assets2−5−3OFCs reclassified as ODCs (2). Catastrophic loss (–5).
TOTAL0855415461
Liabilities
Deposits included in broad money77
Transferable deposits77
In national currency77
Other nonfinancial corporations77Corp. repos newly included in broad money.
Securities other than shares, included in broad money11617
In national currency11617
Other nonfinancial corporations11Change in the definition of broad money.
Other resident sectors1616OFCs reclassified as ODCs.
Securities other than shares, excluded from broad money−1109
In national currency−198
Other financial corporations22OFCs reclassified as ODCs.
Public nonfinancial corporations11OFCs reclassified as ODCs.
Other nonfinancial corporations−132Change in the definition of broad money (–1). OFCs reclassified as ODCs (3).
Nonresidents33OFCs reclassified as ODCs.
In foreign currency11OFCs reclassified as ODCs.
Other nonfinancial corporations11OFCs reclassified as ODCs.
Loans−73−4
Central government11OFCs reclassified as ODCs.
Other nonfinancial corporations−7−7Corp. repos newly included in broad money (–7).
Nonresidents22OFCs reclassified as ODCs.
Financial derivatives77
Central bank22OFCs reclassified as ODCs.
Other depository corporations22OFCs reclassified as ODCs.
Public nonfinancial corporations22OFCs reclassified as ODCs.
Nonresidents11OFCs reclassified as ODCs.
Other accounts payable3−5410−538
Trade credit and advances33
Public nonfinancial corporations11OFCs reclassified as ODCs.
Other nonfinancial corporations22OFCs reclassified as ODCs.
Other−541−541
Other resident sectors−541−541Write-offs of loans that were previously fully provisioned (–541).
Shares and other equity46−541
Funds contributed by owners2424OFCs reclassified as ODCs.
Retained earnings12−17−5OFCs reclassified as ODCs (12). Catastrophic loss of nonfinancial assets (–5).
Reclassification of retained earnings as an appropriation to reserves (–12).
General and special reserves101222OFCs reclassified as ODCs (10). Reclassification of retained earnings as an appropriation to reserves (12).
TOTAL085−541−5−461
Vertical check00000
Table 7.3.OCVA: Other Financial Corporations
(A) Changes in Class. of Assets(B Sectoral Reclassification(C) Write-offs(D) OtherOther Changes in Volume: TotalComments
Assets
Currency and deposits−24−24
Currency−5−5
National−2−2OFCs reclassified as ODCs.
Foreign−3−3OFCs reclassified as ODCs.
Transferable deposits−13−13
In national currency−11−11
Central bank−1−1OFCs reclassified as ODCs.
Other depository corporations−10−10OFCs reclassified as ODCs.
In foreign currency−2−2
Central bank−1−1OFCs reclassified as ODCs.
Other depository corporations−1−1OFCs reclassified as ODCs.
Other deposits−6−6
In national currency−3−3
Central bank−2−2OFCs reclassified as ODCs.
Other depository corporations−1−1OFCs reclassified as ODCs.
In foreign currency−3−3OFCs reclassified as ODCs.
Other depository corporations−3−3OFCs reclassified as ODCs.
Securities other than shares−2−18−3−23
Other depository corporations−2−2OFCs reclassified as ODCs.
Other financial corporations−1−1OFCs reclassified as ODCs.
Central government−6−6OFCs reclassified as ODCs.
State and local government−2−2OFCs reclassified as ODCs.
Public nonfinancial corporations−3−3OFCs reclassified as ODCs.
Other nonfinancial corporations−2−4−6Securities converted into shares (–2). OFCs reclassified as ODCs (–4).
Nonresidents−3−3Write-offs of securities.
Loans−28−48−76
Public nonfinancial corporations−17−13−30OFCs reclassified as ODCs (–17). Write-offs of loans (–13).
Other nonfinancial corporations−5−20−25OFCs reclassified as ODCs (–5). Write-offs of loans (–20).
Other resident sectors−4−15−19OFCs reclassified as ODCs (–4). Write-offs of loans (–15).
Nonresidents−2−2OFCs reclassified as ODCs (–2).
Shares and other equity2−4−2
Other nonfinancial corporations2−11Securities converted into shares (2). OFCs reclassified as ODCs (–1).
Nonresidents−3−3OFCs reclassified as ODCs.
Financial derivatives−4−4
Other depository corporations−2−2OFCs reclassified as ODCs.
Nonresidents−2−2OFCs reclassified as ODCs.
Other accounts receivable−5−5
Trade credit and advances−3−3
Other financial corporations−1−1OFCs reclassified as ODCs.
Other nonfinancial corporations−2−2OFCs reclassified as ODCs.
Other−2−2
Nonresidents−2−2OFCs reclassified as ODCs.
Nonfinancial assets−2−2OFCs reclassified as ODCs.
TOTAL0−85−510−136
Vertical Check: Assets–Liabilities
Liabilities
Securities other than shares,−26−26
excluded from broad money
In national currency−25−25
Other financial corporations−2−2OFCs reclassified as ODCs.
Public nonfinancial corporations−1−1OFCs reclassified as ODCs.
Other nonfinancial corporations−3−3OFCs reclassified as ODCs.
Other resident sectors−16−16OFCs reclassified as ODCs.
Nonresidents−3−3OFCs reclassified as ODCs.
In foreign currency−1−1OFCs reclassified as ODCs.
Other nonfinancial corporations−1−1OFCs reclassified as ODCs.
Loans−3−3
Central government−1−1OFCs reclassified as ODCs.
Nonresidents−2−2OFCs reclassified as ODCs.
Financial derivatives−7−7
Central bank−2−2OFCs reclassified as ODCs.
Other financial corporations−2−2OFCs reclassified as ODCs.
Public nonfinancial corporations−2−2OFCs reclassified as ODCs.
Nonresidents−1−1OFCs reclassified as ODCs.
Other accounts payable−3−48−51
Trade credit and advances−3−3
Public nonfinancial corporations−1−1OFCs reclassified as ODCs.
Other nonfinancial corporations−2−2OFCs reclassified as ODCs.
Other−48−48
Other resident sectors−48−48Write-offs of loans that were previously fully provisioned (–48).
Shares and other equity−46−30−49
Funds contributed by owners−24−24OFCs reclassified as ODCs.
Retained earnings−12−3−12−27OFCs reclassified as ODCs (–12). Write-offs of securities (–3).
Reclassification of retained earnings as an appropriation to reserves (–12).
General and special reserves−10122OFCs reclassified as ODCs (–10). Reclassification of retained earnings as an appropriation to reserves (12).
TOTAL0−85−510−136
Vertical check00000
Table 7.4.Consolidation Adjustment: Other Depository Corporations Survey
Opening StockTransactionsValuation ChangesOther Changes in VolumeClosing Stock
Liabilities (ODCs sectoral balance sheet)43941582540
Deposits excluded from broad money2742960309
Transferable deposits2512250278
In national currency2161400230
Other depository corporations2161400230
In foreign currency3585048
Other depository corporations3585048
Other deposits2371031
In national currency15−40011
Other depository corporations15−40011
In foreign currency8111020
Other depository corporations8111020
Securities other than shares, excluded from broad money9012180120
In national currency3525042
Other depository corporations3525042
In foreign currency551013078
Other depository corporations551013078
Financial derivatives45−834273
Other depository corporations45−834273
Other accounts payable3080038
Trade credit and advances2360029
Other depository corporations2360029
Other72009
Resident sectors72009
Settlements accounts72009
Other depository corporations72009
Minus:
Assets (ODCs sectoral balance sheet)426−28−319414
Transferable deposits243−31−111222
In national currency214−34010190
Other depository corporations214−34010190
In foreign currency293−1132
Other depository corporations293−1132
Other deposits2330430
In national currency1550121
Other depository corporations1550121
In foreign currency8−2039
Other depository corporations8−2039
Securities other than shares8540291
Other depository corporations8540291
Financial derivatives45−32246
Other depository corporations45−32246
Other accounts receivable30−1−4025
Trade credit and advances23−30020
Other depository corporations23−30020
Other72−405
Resident sectors72−405
Settlements accounts72−405
Other depository corporations72−405
Consolidation Adjustment: Liabilities–Assets136961−17126
Table 7.5.Consolidation Adjustment: Depository Corporations Survey
Opening StockTransactionsValuation ChangesOther Changes in VolumeClosing Stock
Liabilities to ODCs (CBS)11,3901,733−220512,908
Reserve deposits (CBS)10,9791,604−257312,329
Other liabilities (CBS)411129372579
less:
Claims on CB (ODCS)11,2841,730−208412,810
Reserve deposits (ODCS)10,8751,592−246212,223
Other claims (ODCS)409138382587
Liabilities to ODCs (CBS record–ODC record)1063–12198
Liabilities to CB (ODCS)1,599281321,642
less:
Claims on other depository corporations (CBS)1,658−108901,561
Liabilities to CB (ODC record–CB record)–591364281
Total consolidation adjustment for CB and ODCs47139–83179
Consolidation adjustment for ODCs (ODCS)136961–17126
Total Consolidation Adjustment6020853–14305
Table 7.6.Consolidation Adjustment: Other Financial Corporations Survey
Opening StockTransactionsValuation ChangesOther Changes in VolumeClosing Stock
Liabilities (OFCs sectoral balance sheet)15840−10−4184
Securities other than shares, excluded from broad money7136−17−288
In national currency5926−13−270
Other financial corporations5926−13−270
In foreign currency1210−4018
Other financial corporations1210−4018
Loans22100032
Other financial corporations22100032
Insurance technical reserves1870025
Prepayment of premiums and reserves against outstanding claims1870025
Other financial corporations1870025
Financial derivatives33−77−231
Other financial corporations33−77−231
Other accounts payable14−6008
Trade credit and advances14−6008
Other financial corporations14−6008
Other00000
Resident sectors00000
Settlements accounts00000
Other financial corporations00000
Minus:
Assets (OFCs sectoral balance sheet)175183−2194
Securities other than shares71162−188
Other financial corporations71162−188
Loans2240026
Other financial corporations2240026
Shares and other equity80008
Other financial corporations80008
Insurance technical reserves1820020
Other financial corporations1820020
Financial derivatives33−60027
Other financial corporations33−60027
Other accounts receivable2321−125
Trade credit and advances1451−119
Other financial corporations1451−119
Other9−3006
Resident sectors9−3006
Settlements accounts9−3006
Other financial corporations9−3006
Consolidation Adjustment: Liabilities–Assets−1722−13−2−10

Reporting by Financial Corporations

General Principles

7.4 A prerequisite for compilation of the monetary statistics—sectoral balance sheets, accompanying memorandum items, and surveys of FCs—is the accurate, comprehensive, and timely reporting of data that FCs have compiled in accordance with the financial asset classifications, economic sectorization, valuation methods, and other accounting rules, as described in Chapters 26 of this Guide.

7.5 Currently, FCs in most countries report only stock data for the monetary statistics. This section is intended to provide guidance on the reporting of stock data, at present, and the general framework for future reporting of both stocks and flows in the sectoral balance sheets and memorandum items.

Central Bank

7.6 Reporting of monetary data for the central bank is comparatively easy, given that the data pertain to a single institutional unit and the data reporting entails only interdepartmental data transmittal—that is, reporting from the central bank’s accounting department to the monetary statistics compilers within the central bank.2 The form of data reporting depends on the division of tasks within a central bank. The accounting department may be responsible for reporting the sectoral-balance-sheet data in final or nearly final form. Alternatively, the accounting department may be required to report the data in less compiled form.

7.7 This Guide recommends that, at a minimum, the accounting department of the central bank should report a single set of data wherein the accounts of the central bank headquarters, all domestic branches of the central bank, and any specialized subunits within the central bank subsector (for example, accounts of a currency board) have been consolidated. In some cases, data reporting by other departments of the central bank—for example, a foreign exchange department or a securities department—may be required for completion of the sectoral balance sheet and/or accompanying memorandum items. At the discretion of central bank management, the data from these departments may be reported directly to the compilers or may be channeled through the accounting department for inclusion in its data reporting to the compilers.

7.8 Comprehensive data reporting by the accounting department enables the monetary statistics compilers to concentrate on (1) verification and, if necessary, adjustment of the data to finalize the sectoral balance sheet of the central bank; (2) collection of the monetary data from the other depository corporations and other financial corporations (ODCs and OFCs, respectively); (3) compilation of the sectoral balance sheets for the ODCs and OFCs; (4) consolidation of the data for the surveys of the FC sector—the CBS, Other Depository Corporations Survey (ODCS), Depository Corporations Survey (DCS), Other Financial Corporations Survey (OFCS), and Financial Corporations Survey (FCS)—and (5) reporting and publication of the monetary statistics.

7.9 Implementation of the data reporting requires close collaboration between the central bank’s accounting department and the monetary statistics compilers. The accounting department should be provided with full documentation of the accounting rules that apply to the stock and flow data for the sectoral balance sheet of the central bank. This documentation should be augmented with ongoing technical support from the monetary statistics compilers, contributing to the quality and timeliness of the data reported by the accounting department.

Other Depository Corporations

7.10 This Guide recommends that ODCs should report stock and flow data in the format of the sectoral balances sheets and in accordance with the financial asset classifications, economic sectorization, and accounting rules of the MFSM and this Guide. The advantages of this reporting are:

  • Compilation efficiency. The reported data are comparable across FCs and are in a form that facilitates aggregation by the compilers.

  • Data quality. From the compilers’ perspective, ODC reporting of extensive sets of supplementary data is a weak substitute for an ODC’s use of its own accounting records to impose the adding-up requirements for stock and flow data, as specified in the MFSM methodology, at the basic level of data compilation.3

7.11 Implementation of new reporting forms requires relatively large investments of time and effort on the part of monetary statistics compilers and ODCs, which may be highly sensitive to increased costs of data reporting. For the compilers and users of monetary statistics, the benefits of adopting the new methodology will be viewed as far exceeding the costs. However, the central bank may need to convince the ODCs that their expenditures will be justified by the benefits of more and better information about their own activities and those of the entire ODC subsector.

7.12 Major elements of implementation of the new reporting system include:

  • Reporting forms. The new reporting forms can be designed with reference to the line items of Form 2SR, the format for standardized reporting of ODC data to the IMF, as described in Reporting to the IMF (¶7.58–7.59 of this chapter). Initially, the reporting requirement may specify that only stock data for an ODC’s balance-sheet accounts and memorandum items should be reported. However, foresight is needed in designing a numeric (or alphanumeric) data-coding system that later can be extended to include the reporting of flows—transactions, valuation changes, and OCVA.

  • Reporting instructions and other documentation. The instructions for completion of the reporting forms can be developed with reference to the Guidance Notes that accompany Form 2SR for the reporting of ODC data to the IMF (see Appendix II of this Guide), as well as by making use of the material in the MFSM and this Guide. In addition, the ODCs should be informed that the MFSM and this Guide are available at the IMF website (www.imf.org).

  • Training sessions. The central bank will need to convene training sessions to provide the ODC reporters and their support staff with in-depth information on the methodology of the monetary statistics, report forms, and reporting procedures.

  • Technical support. The central bank will need to provide a communication channel between the ODCs and the monetary statistics compilers who are in a position to assist the ODCs with the resolution of methodological and other issues associated with the implementation of the new reporting system. The need for technical assistance should be expected to extend beyond the introduction of the new reporting forms.

Other Financial Corporations

7.13 This Guide recommends that the monetary statistics for each OFC should be reported in the format of the sectoral balance sheet and accompanying memorandum items, as specified in the MFSM.4 The data reported by an OFC usually encompass fewer and less diverse categories of assets and liabilities, compared with the data reported by an ODC. The liability accounts of OFCs seldom include deposits,5 and the financial assets and liabilities of many OFCs are likely to have comparatively few categories of debtor/creditor disaggregation by economic sector.6 OFC reporting of quarterly or annual data (if applicable) is also easier, compared with the monthly data reporting of ODCs.

7.14 For OFCs in many countries, the major reporting challenges arise from the large number and diversity of OFCs, as well as from multiple channels of existing data reporting. The OFCs are likely to outnumber ODCs by a wide margin, owing to the prevalence of insurance corporations, pension funds, and financial auxiliaries such as financial asset brokers and dealers. In some countries, OFC data reporting is incomplete or is not performed on a timely basis (or both); reporting by some categories of OFCs may not even exist.

7.15 Ideally, all OFCs should report the monetary data on a timely basis directly to the data compilers in the central bank. Such reporting presently exists in relatively few countries. Instead, OFCs report to government agencies responsible for supervision of particular segments of the financial services industry—for example, national agencies for supervision of securities trading or the operation of organized exchanges, and national or state supervisors of insurance corporations or pension funds. Data reporting sometimes is channeled through trade associations or other nongovernment entities that represent the interests of specific groups of OFCs.

7.16 Establishment of data reporting from OFCs directly to the monetary statistics compilers should result in improved data quality and more timely reporting. However, national policy may dictate that data reporting to the monetary statistics compilers be channeled through supervisory agencies to which OFCs already report.

7.17 Implementation of the OFC reporting involves steps similar to those for ODC reporting:

  • Reporting forms. The new reporting forms can be designed around the line items of Form 4SR, the format for standardized reporting of OFC data to the IMF, as described in Reporting to the IMF (¶7.58–7.59 of this chapter).

  • Reporting instructions and other documentation. The instructions for completion of the reporting forms can be developed with reference to the Guidance Notes that accompany the Form 4SR (see Appendix II of this Guide), as well as the material in the MFSM and this Guide.

  • Training sessions. The central bank may need to sponsor training sessions for OFC reporters and for representatives of the government agencies or private entities through which the data for specific types of OFCs are reported to the monetary statistics compilers.

  • Technical support. The central bank will need to provide a channel of communication between the OFCs and the monetary statistics compilers for initial and ongoing technical assistance in implementing the reporting system. Channels of communication will also be needed between the monetary statistics compilers and all government agencies or other entities responsible for data collection, when indirect OFC data reporting to the monetary statistics compilers is used.

Sectoral Balance Sheets

Aggregation of data is the general rule for the reporting of data underlying the monetary and financial statistics. Aggregation entails the summation of stock or flow data across all institutional units within a particular group (that is, subsector or sector) and, for a given sub-sector, the summation of all stock or flow data within a particular asset or liability category. Sectoral balance sheets—the underlying data sets for the monetary and financial statistics—should be compiled as aggregated data. (MFSM, ¶186)

General Principles

7.18 The MFSM contains a description of the sectoral balance sheets (¶379–390), a general presentation of a sectoral balance sheet and accompanying memorandum items (Table 7.1, pp. 80–86), and illustrative sectoral balance sheets for a central bank, ODCs, and OFCs (Appendix 3, Tables 1–3, pp. 129–148). This Guide presents relatively minor revisions in the general presentation of the sectoral balance sheet and accompanying memorandum items and in the numerical examples for the sectoral balance sheets (Appendix I, Tables A1.1A1.3).

7.19 Revision of the general presentation of a sectoral balance sheet is limited to the addition of subaccounts within the Other categories of Other accounts receivable and Other accounts payable, which have been expanded to include more disaggregation by type of financial asset or liability and by economic sector. The Memorandum items to accompany a sectoral balance sheet have been expanded to include a new type of data—claims on and liabilities to FCs in liquidation—but the disaggregation by economic sector for some items in Table 7.1 of the MFSM has been removed.

7.20 The numerical examples in the illustrative sectoral balance sheets in Appendix 3 of the MFSM have been revised to be more realistic with regard to the debtor and creditor entries for some transactions and positions. Separate explanations and numerical tables for the OCVA entries in the illustrative sectoral balance sheets are presented in Annex 7.1 of this chapter.

7.21 The Balance-Sheet Data for Specific Categories of ODCs and OFCs section in this chapter (¶7.35–7.38) describes additional subsectoral data that can be compiled from the balance-sheet data reported by ODCs and OFCs. Data compiled in this form, though not standard components of the monetary statistics, are of interest for more detailed analysis of institutional groupings within the ODC and OFC subsectors.

Other Accounts Receivable/Payable

7.22 This Guide recommends that the data for Other accounts receivable—other should be more disaggregated than the categories shown in the general presentation of a sectoral balance sheet in the MFSM (Table 7.1, p. 81). Numerous subcategories of Other accounts receivable/payable—other, as obtainable from FCs’ accounting ledgers, are described in Chapter 4 of this Guide. Revised classifications of data based on such accounting records for financial assets within Other accounts receivable—other are shown in Box 7.1.

7.23 More extensive disaggregation of Other accounts receivable—other facilitates the compilation of more comprehensive data for total claims on individual economic sectors in the surveys of the FC sector. The amounts recorded in Settlement accounts often are small, compared with the total outstanding amounts for the categories of financial assets or liabilities. However, it is necessary to have detailed accounting (including disaggregation by economic sector) for the pending settlements to cover those circumstances in which one or more large-scale transactions in securities (or other type of financial assets) represent a relatively large-volume claim on the purchaser from whom the payment has yet to be received.

Box 7.1.Other Accounts Receivable—Other

MFSM
Resident sectors
Nonresidents
Guide
Resident sectors
Dividends receivable1
Settlement accounts
Central bank2
Other depository corporations3
Other financial corporations4
Central government5
State and local government4
Public nonfinancial corporations4
Other nonfinancial corporations4
Other resident sectors4
Items in the process of collection6
Miscellaneous asset items7
Nonresidents
IMF quota subscription (central bank only)8
Dividends receivable8
Settlement accounts8
Items in the process of collection8
Miscellaneous asset items8

Included in Claims on other nonfinancial corporations in all applicable surveys.

Included in Claims on central bank in the ODCS and OFCS.

Included in Claims on other depository corporations in the CBS and OFCS.

Included in Claims on other sectors in applicable surveys.

Included in Claims on central government in applicable surveys.

Included in Other assets in the CBS and ODCS.

Included in Other assets in the CBS, ODCS, and OFCS.

Included in the Other category of Claims on nonresidents (that is, foreign assets) in all applicable surveys.

Included in Claims on other nonfinancial corporations in all applicable surveys.

Included in Claims on central bank in the ODCS and OFCS.

Included in Claims on other depository corporations in the CBS and OFCS.

Included in Claims on other sectors in applicable surveys.

Included in Claims on central government in applicable surveys.

Included in Other assets in the CBS and ODCS.

Included in Other assets in the CBS, ODCS, and OFCS.

Included in the Other category of Claims on nonresidents (that is, foreign assets) in all applicable surveys.

7.24Dividends receivable consists of those receivable on shares of nonfinancial corporations, as well as those receivable on shares of FCs. In this Guide, it has been assumed that most dividends receivable will arise from ownership of shares in nonfinancial corporations. Separate categories for dividends receivable on shares of nonfinancial corporations and FCs, respectively, can be included in the presentation of Other accounts receivable—other, if separate data on Dividends receivable on shares of FCs are viewed as analytically significant in the national context.

7.25 This Guide recommends that the data for Other accounts payable—other should also be more disaggregated than the categories shown in the general presentation of a sectoral balance sheet in the MFSM (Table 7.1, page 85). Revised categories for the liabilities within Other accounts payable—other are shown in Box 7.2.

7.26 Disaggregation of Other accounts payable—other facilitates more comprehensive coverage of liabilities to individual sectors, using the data from Settlement accounts disaggregated by economic sector to account for the contra-entries to FCs’ purchases of assets for which payment has not yet been made.

Other Changes in the Volume of Assets (OCVA)

7.27 Analysis of the monetary statistics often focuses on balance-sheet stocks and flows in the form of transaction and valuation changes. However, flows in the form of OCVA sometimes are of analytical interest, particularly when relatively large entries for OCVA occur. In the MFSM (¶194), OCVA are grouped into six broad categories—Economic appearance of intangible nonproduced assets, Catastrophic losses, Uncompensated seizures, Other volume changes in nonfinancial assets not elsewhere classified, Other volume changes in financial assets and liabilities not elsewhere classified, and Changes in classification and structure, which is divided into Changes in sector classification and structure and Changes in classification of assets and liabilities.7

7.28 In the framework of the monetary statistics, all OCVA entries are included in a single column of the presentation of a sectoral balance sheet. OCVA reported in the single-column format by each reporting institution can be aggregated across all ODCs and all OFCs, respectively, to obtain part or all of the OCVA data for the sectoral balance sheets. Aggregation of the data reported by individual ODCs and OFCs will provide all OCVA data for the sectoral balances in the absence of OCVA entries arising from Changes in classification and structure. These entries arise when and OFC has been reclassified as an ODC at the beginning of the reporting period (or an ODC has been reclassified as an OFC).8

Box 7.2.Other Accounts Payable—Other

MFSM
Resident sectors
Nonresidents
Guide
Resident sectors
Provisions for losses on impaired financial assets (including claims on nonresidents)1
Accumulated depreciation and impairment losses (on nonfinancial assets)1
Consolidation adjustment for headquarters and branches1
Dividends payable1
Settlement accounts
Central bank2
Other depository corporations3
Central government4
State and local government5
Public nonfinancial corporations5
Other nonfinancial corporations5
Other resident sectors5
Miscellaneous liability items1
Nonresidents
Dividends payable6
Settlement accounts6
Miscellaneous liability items6

Included in Other liabilities in all applicable surveys.

Included in Liabilities to central bank in the ODCS and OFCS.

Included in Liabilities to other depository corporations in the CBS and OFCS.

Included in Liabilities to central government in all surveys of the financial sector, where applicable.

Included in Liabilities to other sectors in all surveys where applicable.

Included in the Other category of Liabilities to nonresidents (that is, foreign liabilities) in all applicable surveys.

Included in Other liabilities in all applicable surveys.

Included in Liabilities to central bank in the ODCS and OFCS.

Included in Liabilities to other depository corporations in the CBS and OFCS.

Included in Liabilities to central government in all surveys of the financial sector, where applicable.

Included in Liabilities to other sectors in all surveys where applicable.

Included in the Other category of Liabilities to nonresidents (that is, foreign liabilities) in all applicable surveys.

7.29 An OFC may be newly authorized to issue liabilities (deposits or securities other than shares) included in the national definition of broad money, necessitating its reclassification as an ODC. Prior to the reporting period in which the OFC begins operating as an ODC, each monetary data reporter (including the central bank’s accounting department) should have been informed of the OFC’s reclassification. Having this information, each FC having claims on or liabilities to the reclassified institution is able to reclassify these accounts by economic sector. For example, if the reclassified institution has an outstanding loan from the central bank, the central bank’s accounting department would reclassify the central bank’s claim from Loans—Other financial corporations to Loans—Other depository corporations in the data reported to the compilers. If the reclassified institution holds transferable deposits in national currency units in an ODC, the ODC reclassifies its liability from the OFC subcategory of Deposits included in broad money: Transferable deposits—In national currency to the ODC subcategory of Deposits excluded from broad money: Transferable deposits—In national currency.9

7.30 Given proper notification, the OFCs and ODCs can complete all reclassifications, by economic sector, for their individual claims on and liabilities to the reclassified FC. However, OCVA entries for the transfer of the entire balance sheet of the reclassified FC from the sectoral balance sheet of the OFCs to the sectoral balance sheet of the ODCs can be accomplished only when the data reported by the individual OFCs and ODCs are aggregated in compiling the sectoral balance sheets. The monetary statistics compilers are responsible for two sets of OCVA entries in the category of Changes in classification and structure: the full set of balance-sheet accounts of the reclassified FC is to be removed from the sectoral balance sheet of the OFCs, and the full set of these accounts is to be inserted in the sectoral balance sheet of the ODCs.

7.31 The OCVA entries illustrated in Annex 7.1 include:

  • Catastrophic losses. Loss on nonfinancial assets resulting from a catastrophic event.

  • Other volume changes in financial assets. Write-off of loans, previously provisioned for loss in full, and write-off of securities other than shares, which have not been provisioned.

  • Changes in sector classification and structure. Reclassification of an OFC as an ODC.

  • Changes in classification of assets and liabilities. (1) Monetization of gold (central bank); (2) reclassification of loans, as securities; (3) inclusion of corporate repos in the definition of broad money; (4) revision in the definition of the securities component of broad money; (5) conversion of securities into shares; and (6) an appropriation from retained earnings to general and special reserves.

Memorandum Items

7.32 In the MFSM (Table 7.1, page 86), the memorandum items recommended for assets in the sectoral balance sheet are (1) central bank float (applicable to the central bank only), (2) total accrued interest on loans, (3) interest arrears on loans (disaggregated by economic sector of debtor), and (4) expected loan losses (disaggregated by economic sector of debtor). The memorandum items for liabilities are (1) total accrued interest on loans, (2) interest arrears on loans, and (3) market value of shares and other equity (disaggregated by economic sector of holder).

7.33 The memorandum items, as revised in this Guide, are shown in Box 7.3. In revising the asset categories of memorandum items, the line item for Loans: Of which interest arrears has been changed to Loans: Of which interest and principal arrears, but the sectoral disaggregation of arrears has been deleted. However, the disaggregation by economic sector of debtor for Loans: Of which expected losses has been retained, given that the amounts of the expected losses (together with the sectoral balance-sheet data on outstanding loans) are required for calculation of the expected realizable value of loans by economic sector.

7.34 New categories of memorandum items have been added to provide data for FCs’ claims on and liabilities to FCs in liquidation or awaiting reorganization. These data, disaggregated by type of financial asset/liability, are needed for the consolidation of the sectoral balance sheets in compiling the surveys (ODCS, DCS, OFCS, and FCS). Despite best efforts, the central bank may be unable to obtain regular and timely reporting of data directly from closed FCs. Availability of these memorandum items, which are reported by the FCs that are in operation, enables the compilers to complete the data consolidation across both operating and closed ODCs and OFCs.

Balance-Sheet Data for Specific Categories of ODCs and OFCs

7.35 The sectoral balance sheets of the central bank, ODCs, and OFCs are standard components of the monetary statistics, which are used to derive the consolidated data in the CBS, ODCS, and OFCS. In some national contexts, other aggregations of the monetary data reported by the ODCs and OFCs are useful for analyzing the activities of specific groups of ODCs and OFCs. For example, the data submitted by the ODCs can be sorted and aggregated by size or ownership attributes of the ODCs. Separate sets of aggregate data of the sectoral-balance-sheet type can be compiled for (1) large and small ODCs; (2) government- and private-owned ODCs; (3) foreign-and domestic-owned ODCs; and (4) offshore FCs.10

Box 7.3.Memorandum Items to Accompany a Sectoral Balance Sheet (MFSMTable 7.1, Revised)

Assets
Central bank float (applicable to central bank only)1
Loans: Of which accrued interest
Loans: Of which interest and principal arrears
Loans: Of which expected losses
{By economic sector of debtor}
Securities other than shares: Of which accrued interest
Claims on ODCs in liquidation or reorganization
(closed institutions)
{By type of financial asset2}
Claims on OFCs in liquidation or reorganization
(closed institutions)
{By type of financial asset2}
Liabilities
Loans: Of which accrued interest
Loans: Of which interest and principal arrears
{Subcategory for arrears on IMF loans to the central bank}
Shares and other equity: Market value
{By holding sector}
Liabilities to ODCs in liquidation or reorganization
(closed institutions)
{By type of liability2}
Liabilities to OFCs in liquidation or reorganization
(closed institutions)
{By type of liability2}

Central bank float appears only for central banks that provide advanced availability of funds (that is, availability prior to collection) for items in the process of collection. See MFSM, ¶399 and Table 7.1, footnote 6, p. 86.

Transferable deposits, other deposits, securities other than shares, loans, shares and other equity, financial derivatives, and other accounts receivable/payable.

Central bank float appears only for central banks that provide advanced availability of funds (that is, availability prior to collection) for items in the process of collection. See MFSM, ¶399 and Table 7.1, footnote 6, p. 86.

Transferable deposits, other deposits, securities other than shares, loans, shares and other equity, financial derivatives, and other accounts receivable/payable.

7.36 Similar types of aggregated data can be compiled for subcategories within the OFC subsector. The data submitted by individual OFCs can be sorted and aggregated by size or ownership of the institutional units, but sorting and aggregating by type of financial services is likely to be most useful. Separate sets of aggregated data can be compiled for (1) other financial intermediaries, (2) insurance corporations, (3) pension funds, and (4) financial auxiliaries.11 From the data reported by other financial intermediaries, separate sets of aggregated data can be compiled for FCs, financial leasing corporations, investment pools, securities underwriters and dealers, etc. (see MFSM, ¶100). Similarly for financial auxiliaries, separate data can be compiled for public exchanges and securities markets, brokers and agents, foreign exchange companies, etc. (see MFSM, ¶101).

7.37 Unlike the sectoral balance sheets for ODCs and OFCs, the balance-sheet data for subcategories of ODCs and OFCs cannot be consolidated into surveys. The format of the sectoral balance sheet does not contain separate line items for the many sets of claims and liabilities that usually exist between the more finely divided categories of FCs. Consolidation of the data is impossible in the absence of data for such line items. However, the aggregated data should be adequate for many analytical purposes.

7.38 Access to separate balance-sheet data for small groupings of ODCs and OFCs may be restricted, and dissemination may not be permitted within the national regulations governing the confidentiality of data for an individual institutional unit or small group of units.

Surveys of Financial Corporations

General Principles

7.39 The sectoral balance sheets for the central bank, ODCs, and OFCs are the sources of all data for the compilation of the CBS, ODCS, and OFCS. From a compiler’s perspective, the CBS and ODCS are complete sets of source data for the DCS, as well as being final outputs of monetary statistics. Similarly, the DCS and OFCS contain all source data for the FCS.

7.40 Broad features of compilation and presentation of the surveys are described in the MFSM, Chapter 7 (¶395–402). Additional information on the aggregation of financial assets and liabilities and the consolidation of data across FCs is provided in this section of the Guide.

7.41 All survey categories of assets and liabilities are presented on a gross basis, except claims on and liabilities to nonresidents, claims on and liabilities to central government, and Other items (net). FCs’ net claims on nonresidents (that is, Net foreign assets) and Net claims on central government are shown in the asset section of each survey, along with separate lines for total claims and total liabilities. Other items (net) is the miscellaneous category of each survey, consisting of the net liability for all balance-sheet accounts not included elsewhere in a survey.

Claims on and Liabilities to Nonresidents

7.42 In the CBS, ODCS, and OFCS, Claims on non-residents are disaggregated into separate categories for Foreign currency, Deposits, Securities other than shares, Loans, Financial derivatives, and Other. The Other category consists of Insurance technical reserves—Nonresidents (in the category of Prepayment of insurance premiums and reserves against outstanding claims) and Other accounts receivable in the nonresident subcategories of Trade credit and advances, Dividends receivable, Settlement accounts, Items in the process of collection, Miscellaneous asset items, and IMF quota subscription (CBS only). The DCS and FCS show Claims on nonresidents without disaggregation.

7.43 In the CBS, ODCS, and OFCS, Liabilities to nonresidents are presented in the same format as Claims on nonresidents, excluding Monetary gold and SDR holdings (CBS only) and foreign currency. The separate categories are Deposits, Securities other than shares, Loans, Financial derivatives, and Other. The Other category consists of Insurance technical reserves—Nonresidents (in the category of Prepayment of insurance premiums and reserves against outstanding claims) and Other accounts payable in the nonresident subcategories of Trade credit and advances, Dividends payable, Settlement accounts, and Miscellaneous liability items. In the DCS and FCS, only single lines for Liabilities to nonresidents are shown.

Box 7.4.Financial Assets in the Surveys: Major Categories for Resident Sectors

A. By sector of debtorA. Survey
Claims on other depository corporationsCBS
Claims on central bankODCS
Claims on depository corporationsOFCS
Claims on central governmentAll surveys
Claims on other sectors
Claims on other FCsCBS, ODCS, and DCS
Claims on state and local governmentAll surveys
Claims on public nonfinancial corporationsAll surveys
Claims on other nonfinancial corporationsAll surveys
Claims on other resident sectorsAll surveys
B. Financial assets included in Claims onB. “Claims on” category
1. National currencyClaims on central bank(ODCS and OFCS)
Claims on depository corporations (OFCS)
2. DepositsAll Claims on presentations
3. Securities other than sharesAll Claims on presentations
4. LoansAll Claims on presentations
5. Shares and other equityAll Claims on presentations
6. Financial derivativesAll Claims on presentations
7. Insurance technical reserves—OFCs
7.1. Prepayment of insurance premiumsClaims on OFCs
7.2. Reserves against outstanding claimsClaims on OFCs
8. Other accounts receivable
8.1. Trade credit and advancesAll Claims on presentations
8.2. Settlement accountsAll Claims on presentations
8.3. Dividends receivableClaims on other nonfinancial corporations only

Claims on Resident Sectors

7.44 Financial assets are presented as Claims on various economic sectors and subsectors. The sectoral categories, which cover the claims on all resident units, are shown in Panel A of Box 7.4. Each Claims on category includes a common set of major financial assets—deposits, securities other than shares, loans, shares and other equity, and financial derivatives—as well as the subcategories of Trade credit and advances and Settlement accounts within Other accounts receivable. The financial assets included in only some categories are national currency (Claims on the central bank only), Prepayment of insurance premiums and reserves against outstanding claims within Insurance technical reserves (Claims on other FCs only), and Dividends receivable (Claims on other nonfinancial corporations only).12

Liabilities to Resident Sectors

7.45 The liability categories in the surveys are shown in Box 7.5. The main classification is by financial instrument—currency,13 deposits, securities other than shares, loans, financial derivatives, trade credit and advances, settlement accounts, and shares and other equity. In the CBS, Liabilities to other depository corporations are disaggregated into separate categories for Reserve deposits and Other liabilities, whereas only a single category of Liabilities to the central bank is presented in the ODCS.

Box 7.5.Liabilities in the Surveys: Major Categories for Resident Sectors

A. LiabilitiesA. Survey
Monetary baseCBS
Currency in circulationCBS
Currency outside DCsDCS
Currency outside FCsFCS
Liabilities to other depositoryCBS
corporations
Liabilities to central government1All surveys
Liabilities to central bankODCS
Deposits included in broad moneyCBS, ODCS
Transferable depositsCBS, ODCS, DCS
Other depositsCBS, ODCS, DCS
Deposits excluded from broad moneyCBS, ODCS, DCS
DepositsOFCS, FCS
Securities other than shares, included inCBS, ODCS, DCS
broad money
Securities other than shares, excludedCBS, ODCS, DCS
from broad money
Securities other than sharesOFCS, FCS
LoansAll surveys
Financial derivativesAll surveys
Insurance technical reservesOFCS, FCS
Trade credit and advancesAll surveys
Settlement accounts2All surveys
Shares and other equityAll surveys
B. Other items (net)All surveys
Other liabilitiesAll surveys
less: Other assetsAll surveys
plus: Consolidation adjustmentODCS, DCS, OFCS,
and FCS
1Deposits, Securities other than shares, Loans, Financial derivatives, Insurance technical reserves (OFCS and FCS only), Trade credit and advances, and Settlement accounts.2 This category did not appear in the surveys in the MFSM.

7.46 In the liability sections of the CBS, ODCS, and DCS, deposits and securities other than shares are each disaggregated into separate categories for those included in broad money and those excluded from broad money. Deposits included in broad money are disaggregated into Transferable deposits and Other deposits, and these categories are further disaggregated by money-holding sector (that is, economic sector of creditor). Securities other than shares, included in broad money is also disaggregated by money-holding sector.

7.47 The DCS shows the total amount of broad-money liabilities of the FCs sector, disaggregated into Currency outside depository corporations, Transferable deposits, Other deposits, and Securities other than shares. The deposits and securities are further disaggregated by money-holding sector. For many countries, Broad money liabilities in the DCS accounts for broad money in its entirety.14

7.48 The FCS shows FCs’ liabilities for Deposits and Securities other than shares irrespective of whether the deposits and securities are components of broad money. All OFC holdings of Deposits and Securities other than shares issued by DCs are excluded from the FCS in the process of consolidating the DCS and OFCS data. Therefore, the FCS coverage of broad-money liabilities is less complete than the DCS—to the extent that OFC holdings of deposits and securities other than shares are included in broad money.15

7.49 In the CBS, ODCS, and OFCS, Shares and other equity is disaggregated into separate components for Funds contributed by owners, Retained earnings, General and special reserves, SDR allocations (CBS only), and Valuation adjustment. The DCS and FCS show only the aggregated amount of Shares and other equity for all DCs and all FCs, respectively. In each survey, Shares and other equity is shown on an aggregated (that is, unconsolidated) basis. Equity shares of ODCs may be held by other ODCs or OFCs. Similarly, equity shares of OFCs may be held by other OFCs or ODCs.16 These inter-FC-sector holdings of equity shares are not deducted in compiling the liability account for Shares and other equity in any survey.17

7.50Other items (net), which is presented in each survey as a liability, may be positive (net liability) or negative (net asset). Other items (net) is given by Other liabilities less Other assets plus Consolidation adjustment. Other liabilities comprises the resident categories of Other accounts payable—other, excluding Settlement accounts. The individual accounts are Provisions for losses on impaired financial assets, Accumulated depreciation and impairment losses on nonfinancial assets, Consolidation adjustment for branches and headquarters, and Dividends payable. Other assets consists of Items in the process of collection and Miscellaneous asset items—the resident categories of Other accounts receivable—other not included in Dividends receivable and Settlement accounts.

Consolidation entails the “canceling out” of stocks and flows that arise from financial claims and corresponding obligations between the institutional units within the financial sector or subsector covered by a particular survey. (MFSM, ¶187)

7.51 The three forms of consolidation in the sectoral balance sheets and surveys are:

  • Consolidation in the sectoral balance sheets. The sectoral balance sheets of the central bank, ODCs, and OFCs contain accounts for Consolidation adjustment for branches and headquarters (within Other accounts payable—other), which are included in Other liabilities. In the sectoral balance sheet of the central bank, Consolidation adjustment for branches and headquarters shows the net discrepancy from consolidating the accounts of the head office and branches (and, if relevant, central-bank units such as currency boards). In the sectoral balance sheet of the ODCs or the sectoral balance sheet of the OFCs, Consolidation adjustment for branches and headquarters shows the net discrepancy calculated by summation of the consolidation adjustments reported by the individual ODCs or OFCs.

  • Consolidation in the ODCS and OFCS. Consolidation adjustment within Other items (net) in the ODCS or OFCS shows the discrepancy that remains after netting out inter-ODC or inter-OFC claims and liabilities in the consolidation.

  • Consolidation in the DCS and FCS. Consolidation adjustment within Other items (net) in the DCS or FCS shows the discrepancy that remains after netting out inter-depository-corporation or inter-financial-corporation claims and liabilities in the consolidation process.

7.52Consolidation adjustments in the ODCS and OFCS are illustrated in Table 7.4 and Table 7.6, respectively, in Annex 7.2. The illustrations are based on the numerical examples for the sectoral balance sheets in Table A1.2 and Table A1.3 in Appendix I of this Guide. In the illustration for the ODCS in Table 7.4, ODC claims on other ODCs (corresponding to ODC liabilities to other ODCs) pertain to the categories of Deposits, Securities other than shares, Loans, Financial derivatives, Trade credit and advances, and Settlement accounts. In the illustration for the OFCS in Table 7.6, OFC claims on other OFCs (corresponding to OFC liabilities to other OFCs) are in the form of Securities other than shares, Loans, Shares and other equity, Insurance technical reserves, Financial derivatives, Trade credit and advances, and Settlement accounts.

7.53Consolidation adjustment in the DCS is illustrated in Table 7.5 in Annex 7.2, using the numerical examples for the CBS and ODCS in Table 7.8 and Table 7.9, respectively, in Annex 7.3. In the illustration in Table 7.5, central bank liabilities to the ODCs are Reserve deposits and Other liabilities, as classified in the CBS. ODCS claims on the central bank are Reserve deposits and Other claims, as shown in the ODCS. Table 7.5 also shows Liabilities to the CB (central bank) (as recorded in the ODCS) and Claims on other depository corporations (as recorded in the CBS). Consolidation adjustment in the DCS includes the Consolidation adjustment in the ODCS (Table 7.4), as well as the amount of discrepancy between the corresponding accounts in the CBS and ODCS.

7.54Consolidation adjustment in the FCS is illustrated in Table 7.7 in Annex 7.2, using the numerical examples for the OFCS and DCS in Table 7.10 and Table 7.11, respectively, in Annex 7.3. Calculation of Consolidation adjustment is facilitated by the inclusion of lines for Of which: Other financial corporations within liability categories in the DCS and lines for Of which: Depository corporations in the OFCS. As shown in Table 7.7, assets in the calculation of the Consolidation adjustment are Claims on other sectors—Other financial corporations (DCS, Table 7.11) and Claims on Depository Corporations (OFCS, Table 7.10). For both OFC liabilities to depository corporations (OFCS) and depository corporations liabilities to OFCs (DCS), the categories include Securities other than shares, Loans,18Financial derivatives, Trade credit and advances, and Settlement accounts. DC liabilities to OFCs also include Deposits included in broad money and Deposits excluded from broad money (DCS), and OFC liabilities to DCs include Insurance technical reserves—Prepayment of premiums and reserves for outstanding claims. Consolidation adjustment in the FCS also includes Consolidation adjustment in the OFCS (Table 7.10) and Consolidation adjustment in the DCS (Table 7.11).

Table 7.7.Consolidation Adjustment: Financial Corporations Survey
Opening StockTransactionsValuation ChangesOther Changes in VolumeClosing Stock
Liabilities to depository corporations (OFCS)1914416−2249
Securities other than shares (OFCS)36009
Of which: Depository corporations36009
Loans (OFCS)36−104030
Of which: Depository corporations36−104030
Financial derivatives (OFCS)782112−2109
Of which: Depository corporations782112−2109
Insurance technical reserve (OFCS)30140044
Prepayment of premiums and reserves against outstanding claims30140044
Of which: Depository corporations30140044
Trade credit and advances (OFCS)2960035
Of which: Depository corporations2960035
Settlements accounts (OFCS)1570022
Of which: Depository corporations1570022
Liabilities to OFCs (DCS)9,49092563−310,475
Broad money liabilities (DCS)8,99490940−39,940
Transferable deposits (DCS)8,76388713−39,660
Of which: Other financial corporations8,76388713−39,660
Other deposits (DCS)1301430147
Of which: Other financial corporations1301430147
Securities other than shares, included in broad money (DCS)1018240133
Of which: Other financial corporations1018240133
Deposits excluded from broad money (DCS)312−1040306
Of which: Other financial corporations312−1040306
Securities other than shares, excluded from broad money (DCS)10611192138
Of which: Other financial corporations10611192138
Financial derivatives (DCS)34−30−229
Of which: Other financial corporations34−30−229
Trade credit and advances (DCS)28190047
Of which: Other financial corporations28190047
Settlements accounts (DCS)16−10015
Of which: Other financial corporations16−10015
Minus:
Domestic claims (DCS)285364−12648
Claims on other sectors285364−12648
Of which: Other financial corporations285364−12648
Claims on depository corporations (OFCS)9,47491523−2310,389
Other claims9,47491523−2310,389
Plus:
Consolidation adjustment (OFCS)−1722−13−2−10
Consolidation adjustment (DCS)6020853−14305
Consolidation Adjustment–35–80970–18
Table 7.8.Central Bank Survey
Opening StockTransactionsValuation ChangesOther Changes in VolumeClosing Stock
Net foreign assets12,8864,7082,015319,612
Claims on nonresidents16,4004,6422,389323,434
Monetary gold and SDR holdings43070473550
Foreign currency2915347
Deposits4,6062,1966917,493
Securities other than shares3,8021,1485705,520
Loans6,5081,1289768,612
Financial derivatives75191113955
Other274−6−11257
less: Liabilities to nonresidents–3,51466−3740–3,822
Deposits–2,11754−260–2,089
Securities other than shares−775−72
Loans–1,105−201–1,306
Financial derivatives−126−19−175−320
Other−892628−35
Claims on other depository corporations1,658−10891,561
Net claims on central government3,501−9296303,202
Claims on central government4,519−8046304,345
Securities4,105−8096163,912
Other claims414514433
less: Liabilities to central government–1,018−125–1,143
Deposits–1,000−115–1,115
Other liabilities−18−10−28
Claims on other sectors4436036−101,040
Other financial corporations116353−1466
State and local government33−627
Public nonfinancial corporations1812545−5435
Other nonfinancial corporations93−52−387
Other resident sectors207−225
Monetary base19,1162,377−212221,283
Currency in circulation4,0072504,257
Liabilities to other depository corporations11,3901,733−220512,908
Reserve deposits10,9791,604−257312,329
Other liabilities411129372579
Deposits included in broad money3,7193948−34,118
Transferable deposits3,2694238−33,697
Other financial corporations54178−376
State and local government
Public nonfinancial corporations481361
Other nonfinancial corporations
Other resident sectors3,1673933,560
Other deposits450−29421
Other financial corporations70575
State and local government230−45185
Public nonfinancial corporations15011161
Other nonfinancial corporations
Other resident sectors
Securities other than shares, included in broad money
Other financial corporations
State and local government
Public nonfinancial corporations
Other nonfinancial corporations
Other resident sectors
Deposits excluded from broad money
Of which: Other financial corporations
Securities other than shares, excluded from broad money
Of which: Other financial corporations
Loans
Of which: Other financial corporations
Financial derivatives79−38−282
Of which: Other financial corporations22−52−217
Trade credit and advances821597
Of which: Other financial corporations241135
Settlements accounts10−19
Of which: Other financial corporations426
Shares and other equity3881,8402,861−45,085
Funds contributed by owners122122
Retained earnings951,8402,320−134,242
General and special reserves46955
SDR allocations37845
Valuation adjustment88533621
Other items (net)–1,187463−3–1,141
Other liabilities546812−10124
less: Other assets–1,241−22−97–1,265
VERTICAL CHECK00000
Table 7.9.Other Depository Corporations Survey
Opening StockTransactionsValuation ChangesOther Changes in VolumeClosing Stock
Net foreign assets9,7242,3062,243614,279
Claims on nonresidents15,4802,5672,5811220,640
Foreign currency1,23421414131,592
Deposits13,2462,2132,30817,767
Securities other than shares340751398
Loans41231702515
Financial derivatives35−12−5220
Other213114165348
less: Liabilities to nonresidents–5,756−261−338−6–6,361
Deposits–2,178−171−112–2,461
Securities other than shares–1,0858−209−3–1,289
Loans−5961502−2−446
Financial derivatives−11214−31−1−130
Other–1,785−26212–2,035
Claims on central bank11,6411,799−208613,238
Currency357692428
Reserve deposits10,8751,592−246212,223
Other claims409138382587
Net claims on central government8,6972,60898511,408
Claims on central government8,8052,60699611,516
Securities other than shares8,7962,60599611,506
Other claims9110
less: Liabilities to central government−1082−1−1−108
Deposits−567−1−50
Other liabilities−52−50−1−58
Claims on other sectors98,194300516−50198,509
Other financial corporations169112182
State and local government139−32138
Public nonfinancial corporations5,74620669−515,970
Other nonfinancial corporations71,903−469272−27971,427
Other resident sectors20,237555175−17520,792
Liabilities to central bank1,599281321,642
Deposits included in broad money91,4172,7752,520796,719
Transferable deposits39,3984,12031743,556
Other financial corporations8,70987059,584
State and local government448452495
Public nonfinancial corporations6,53482347,361
Other nonfinancial corporations13,0021,32012714,341
Other resident sectors10,7051,062811,775
Other deposits52,019–1,3452,48953,163
Other financial corporations609372
State and local government54−2153
Public nonfinancial corporations12093132
Other nonfinancial corporations15,012–1,73039713,679
Other resident sectors36,7733692,08539,227
Securities other than shares, included in broad money27,097374,1661731,317
Other financial corporations101824133
State and local government21−7317
Public nonfinancial corporations4731484571
Other nonfinancial corporations13,700512,094115,846
Other resident sectors12,802−291,9611614,750
Deposits excluded from broad money108713401,140
Of which: Other financial corporations312−104306
Securities other than shares, excluded from broad money5301071136756
Of which: Other financial corporations10611192138
Loans7−70
Of which: Other financial corporations
Financial derivatives10816162142
Of which: Other financial corporations122−212
Trade credit and advances30−1332
Of which: Other financial corporations4812
Settlements accounts114−4272
Of which: Other financial corporations12−39
Shares and other equity20,1005,250–4,0604121,331
Funds contributed by owners7,896247,920
Retained earnings6,3425,250–3,530−58,057
General and special reserves4,732224,754
Valuation adjustment1,130−530600
Other items (net)–13,833–1,170−159−555–15,717
Other liabilities1,7486−5411,213
less: Other assets–15,594–1,245−2203–17,056
plus: Consolidation adjustment136961−17126
VERTICAL CHECK00000
Table 7.10.Other Financial Corporations Survey
Opening StockTransactionsValuation ChangesOther Changes in VolumeClosing Stock
Net foreign assets5,0601,9602,125−99,136
Claims on nonresidents15,7532,3102,164−1520,212
Foreign currency76222117−3898
Deposits1,2524391881,879
Securities other than shares12,3891,7131,800−315,899
Loans512−1759−2552
Financial derivatives321057−2142
Other80648−7−5842
less: Liabilities to nonresidents–10,693−350−396–11,076
Deposits
Securities other than shares−59−8193−45
Loans−11−3−42−16
Financial derivatives−12−13−31−27
Other–10,611−326−51–10,988
Claims on depository corporations9,59790123−2510,496
Currency123−140−2107
Other claims9,47491523−2310,389
Net claims on central government22,64944711−523,102
Claims on central government22,67645812−623,140
Securities22,67645812−623,140
Other claims
less: Liabilities to central government−27−11−11−38
Deposits
Other liabilities−27−11−11−38
Claims on other sectors92,5864,84141−8697,382
State and local government3,288147−23,433
Public nonfinancial corporations8,455−30321−338,140
Other nonfinancial corporations77,5844,91012−3282,474
Other resident sectors3,259878−193,335
Deposits
Of which: Depository corporations
Securities other than shares28828−13−21282
Of which: Depository corporations369
Loans41−6237
Of which: Depository corporations36−10430
Financial derivatives892616−4127
Of which: Depository corporations782112−2109
Insurance technical reserve129,1026,8311,623137,556
Net equity of households in life insurance reserves22,3572,22124,578
Net equity of households in pension funds99,9994,3651,623105,987
Prepayment of premiums and reserves against outstanding claims6,7462456,991
Of which: Depository corporations301444
Trade credit and advances811−379
Of which: Depository corporations29635
Settlements accounts502373
Of which: Depository corporations15722
Shares and other equity11,3361,150535−4912,972
Funds contributed by owners5,676−245,652
Retained earnings4,5721,150450−276,145
General and special reserves4322434
Valuation adjustment65685741
Other items (net)–11,0959637−48–11,010
Other liabilities13712540−48254
less: Other assets–11,215−51102–11,254
plus: Consolidation adjustment−1722−13−2−10
VERTICAL CHECK00000
Table 7.11.Depository Corporations Survey
Opening StockTransactionsValuation ChangesOther Changes in VolumeClosing Stock
Net foreign assets22,6107,0144,258933,891
Claims on nonresidents31,8807,2094,9701544,074
less: Liabilities to nonresidents–9,270−195−712−6–10,183
Domestic claims110,8352,5821,250−506114,159
Net claims on central government12,1981,679728514,610
Claims on central government13,3241,802729615,861
less: Liabilities to central government–1,126−123−1−1–1,251
Claims on other sectors98,637903522−51199,549
Other financial corporations285364−12648
State and local government172−92165
Public nonfinancial corporations5,92746074−566,405
Other nonfinancial corporations71,996−474274−28271,514
Other resident sectors20,257562175−17720,817
Broad money liabilities125,7503,3426,69419135,805
Currency outside depository corporations3,650181−23,829
Transferable deposits42,5344,49839447,075
Other financial corporations8,76388713−39,660
State and local government448452495
Public nonfinancial corporations6,58283647,422
Other nonfinancial corporations13,0021,32012714,341
Other resident sectors13,8721,455815,335
less: Central bank float−133−45−178
Other deposits52,469–1,3742,48953,584
Other financial corporations130143147
State and local government284−471238
Public nonfinancial corporations270203293
Other nonfinancial corporations15,012–1,73039713,679
Other resident sectors36,7733692,08539,227
Securities other than shares, included in broad money27,097374,1661731,317
Other financial corporations101824133
State and local government21−7317
Public nonfinancial corporations4731484571
Other nonfinancial corporations13,700512,094115,846
Other resident sectors12,802−291,9611614,750
Deposits excluded from broad money1,08713401,140
Of which: Other financial corporations312−104306
Securities other than shares, excluded5301071136756
from broad money
Of which: Other financial corporations10611192138
Loans7−7
Of which: Other financial corporations
Financial derivatives1871324224
Of which: Other financial corporations34−3−229
Trade credit and advances112143129
Of which: Other financial corporations281947
Settlements accounts124−4381
Of which: Other financial corporations16−115
Shares and other equity20,4887,090–1,1993726,416
Other items (net)–14,840−940−164−555–16,501
Other liabilities (includes central bank float)1,93511912−5511,515
less: Other assets–16,835–1,267−22910–18,321
plus: Consolidation adjustment6020853−14305
Memoranda: Central bank float13345178
VERTICAL CHECK00000
Table 7.12.Financial Corporations Survey
Opening StockTransactionsValuation ChangesOther Changes in VolumeClosing Stock
Net foreign assets27,6708,9746,383043,027
Claims on nonresidents47,6339,5197,13464,286
less: Liabilities to nonresidents–19,963−545−7510–21,259
Domestic claims225,7857,5061,303−599233,995
Net claims on central government34,8472,12673937,712
Claims on central government36,0002,26074139,001
less: Liabilities to central government–1,153−134−2–1,289
Claims on other sectors190,9385,380564−599196,283
State and local government3,4601383,598
Public nonfinancial corporations14,38215795−8914,545
Other nonfinancial corporations149,5804,436286−314153,988
Other resident sectors23,516649183−19624,152
Currency outside financial corporations3,5271953,722
Deposits86,8852,2462,548791,686
Securities other than shares27,7051474,22332,075
Loans124−2−77
Financial derivatives1642128213
Insurance technical reserves129,0726,8171,623137,512
Trade credit and advances136−10126
Settlements accounts143−26117
Shares and other equity31,8248,240−664−1239,388
Other items (net)–26,013–1,154−70−587–27,824
Other liabilities2,07224452−5991,769
less: Other assets–28,050–1,318−21912–29,575
plus: Consolidation adjustment−35−80970−18
VERTICAL CHECK00000

Monetary Authorities Account

The CBS covers only central banking functions performed by the central bank. In some countries, however, certain central banking functions are performed wholly or partly by the central government. These include currency issuance, the holding of international reserves, and the conducting of transactions with the IMF. In such situations, consideration could be given to compiling a monetary authorities account. (MFSM, ¶403)

7.55 A monetary authorities account, as illustrated in Table 7.13 in Annex 7.4, is a presentation of a central bank survey that has been augmented with line items associated with central banking functions performed by the central government. In the illustration, the accounts include (1) a government liability for the issuance of currency (typically coins), (2) a government liability for financial obligations to the IMF, and (3) government assets (typically, foreign exchange holdings) that are part of official international reserves.

Table 7.13.Monetary Authorities Account
Opening StockTransactionsValuation ChangesOther Changes in VolumeClosing Stock
Net foreign assets12,8364,6952,012319,546
Claims on nonresidents16,4504,6342,389323,476
Monetary gold and SDR holdings43070473550
Foreign currency2915347
Deposits4,6062,1966917,493
Securities other than shares3,8021,1485705,520
Loans6,5081,1289768,612
Financial derivatives75191113955
Other274−6−11257
Reserve assets—central government50–842
less: Liabilities to nonresidents–3,61461−3770–3,930
Deposits–2,11754−260–2,089
Securities other than shares−775−72
Loans–1,105−201–1,306
Financial derivatives−126−19−175−320
Other−892628−35
Liabilities to IMF—central government–100–5–3–108
Claims on other depository corporations1,658−10891,561
Net claims on central government3,581−9146333,300
Claims on central government4,649−79763304,485
Securities4,105−8096163,912
Other claims414514433
less: Liabilities to central government–1,068−117–1,185
Deposits–1,000−115–1,115
Other liabilities−18−10−28
Claims on other sectors4436036−101,040
Other financial corporations116353−1466
State and local government33−627
Public nonfinancial corporations1812545−5435
Other nonfinancial corporations93−52−387
Other resident sectors207−225
Monetary base19,1462,379−212221,315
Currency in circulation—central bank4,0072504,257
Currency issue—central government30232
Liabilities to other depository corporations11,3901,733−220512,908
Reserve deposits10,9791,604−257312,329
Other liabilities411129372579
Deposits included in broad money3,7193948−34,118
Transferable deposits3,2694238−33,697
Other financial corporations54178−376
State and local government
Public nonfinancial corporations481361
Other nonfinancial corporations
Other resident sectors3,1673933,560
Other deposits450−29421
Other financial corporations70575
State and local government230−45185
Public nonfinancial corporations15011161
Other nonfinancial corporations
Other resident sectors
Securities other than shares, included in broad money
Other financial corporations
State and local government
Public nonfinancial corporations
Other nonfinancial corporations
Other resident sectors
Deposits excluded from broad money
Of which: Other financial corporations
Securities other than shares, excluded from broad money
Of which: Other financial corporations
Loans
Of which: Other financial corporations
Financial derivatives79−38−282
Of which: Other financial corporations22−52−217
Trade credit and advances821597
Of which: Other financial corporations241135
Settlements accounts10−19
Of which: Other financial corporations426
Shares and other equity3881,8402,861−45,085
Funds contributed by owners122122
Retained earnings951,8402,320−134,242
General and special reserves46955
SDR allocations37845
Valuation adjustment88533621
Other items (net)–1,267−310−3–1,239
Other liabilities (central bank)546812−10124
plus: Contra-entry to reserve assets—central government50–842
less: Other assets (central bank)–1,241−22−97–1,265
less: Contra-entry to currency issue—central government–30–2–32
less: Contra-entry to liabilities to IMF—central government
VERTICAL CHECK00000

7.56 A government liability that is routed to the monetary authorities account is matched by a contra-entry representing a claim on the central government, and an entry for a central government asset is matched by a contra-entry representing a liability to the central government.

7.57 This Guide recommends that each entry and contra-entry should be presented as a separate line item in the monetary authorities account.19 As shown in Table 7.13 of Annex 7.4, the relevant accounts are:

  • Currency issuance—central government (a component of the Monetary base) and Contra-entry to currency issue—central government (a component of Other Items (net)).

  • Liabilities to IMF—central government (a component of Liabilities to nonresidents) and Contra-entry to liabilities to IMF—central government (a component of Other Items (net)).

  • Reserve assets—central government (a component of Claims on nonresidents) and Contra-entry to reserve assets—central government (a component of Other Items (net)).

Reporting to the IMF

7.58 The standardized report forms (SRFs) for monetary data reporting to the IMF, introduced in 2004, are presented in Appendix II of this Guide, together with Guidelines for Completion of Standardized Report Forms 1SR, 2SR, 4SR, and 5SR for Reporting Monetary Data to the Fund. The forms are:20

  • Form 1SR – Central Bank;

  • Form 2SR – Other Depository Corporations;

  • Form 4SR – Other Financial Corporations; and

  • Form 5SR – Monetary Aggregates

7.59 Forms 1SR, 2SR, and 4SR are based on the sectoral balance sheets of the central bank, ODCs, and OFCs, respectively, but contain additional line items for data disaggregation by national/foreign currency of denomination.21 In the sectoral balance sheet in Table 7.1 of the MFSM (pp. 80–86), the asset accounts for securities other than shares, shares and other equity, insurance technical reserves, financial derivatives, and other accounts receivable are not disaggregated by national/foreign currency of denomination; similarly, the liability accounts for loans, insurance technical reserves, financial derivatives, and other accounts payable are not disaggregated by currency of denomination. The additional lines in Forms 1SR, 2SR, and 4SR are intended for use by countries for which more categories of financial asset and liability reporting by currency of denomination are feasible.

7.60Form 1SR—Central Bank contains lines to be used to distinguish a central bank’s holdings of foreign assets that qualify as official international reserves. In the MFSM framework, the central bank’s claims on nonresidents are classified by foreign asset—monetary gold and SDR holdings, foreign currency, deposits, securities other than shares, loans, etc.—without separately identifying the foreign assets that are included in international reserves. In the earlier framework of the monetary statistics, international reserve assets constituted a separate category of foreign assets in the central bank data reported to the IMF.

7.61 The International Reserves and Foreign Currency Liquidity: Guidelines for a Data Template (see Kester, 2001) has been introduced as the main conduit for countries’ reporting of their international reserve assets and foreign currency liabilities. Many countries have not yet implemented such reporting on a regular and timely basis, but are expected to adopt such reporting in the future.22 In the interim, central bank holdings of international reserves are to be reported in the lines provided in Form 1SR.

7.62Reserve position in the Fund—a component of international reserves—measures a country’s wherewithal for meeting balance of payments needs through the drawing down of a country’s unconditional claims on the IMF. The Form 1SR line item for Reserve position in the Fund is a legacy of a longstanding practice of presenting a country’s financial relationship with the IMF on a net basis. Some countries still use this presentation in the reporting of central bank data to the IMF. In completing Form 1SR, the data entries appear either in the individual accounts—IMF Quota and IMF Account No. 1 & Securities—or on a net basis in Reserve position in the Fund, thereby avoiding double-counting.

7.63Reserve position in the Fund can be calculated by using an algebraic relationship between a country’s claims on and liabilities to the IMF. Reserve position in the Fund is equal to IMF Quota (a foreign asset of the central bank) minus the balances in the IMF No. 1 Account (a foreign liability of the central bank) that are not subject to exclusion23 plus Loans to the IMF (applicable to few countries).

7.64 In accordance with the methodology in the MFSM and this Guide, the country’s quota subscription is recorded in IMF Quota (within Other accounts receivable—other) in Form 1SR, and the deposit liability to the IMF is recorded in IMF Accounts No. 1 & Securities (within Deposits excluded from monetary base—Transferable Deposits24). Form 1SR also includes a line for Reserve position in the Fund (within Holdings of Foreign Currency) for use by countries not yet reporting their quota subscriptions and deposit liabilities to the IMF on a gross basis.

7.65 The SRFs are applicable to data reporting by each country that reports monetary data directly to the IMF. A more detailed reporting format is used for countries that report their monetary data to the European Central Bank (ECB), which transmits the data to the IMF.25 The reporting formats for these countries are generally consistent with the SRFs but contain additional line items to account for a dichotomy of nonresident classification—in-union nonresidents and outside-union nonresidents—in the data. Statistics are compiled on the basis of both national residency and euro-area-wide residency, based on EU membership as of a specified date.26

7.66 Using the euro-area-wide residency criteria, all institutional units located in euro-area countries are treated as resident, and all units outside the euro area as nonresident. For example, claims on government under the national residency criteria include only claims on the government of the country, whereas claims on government under the euro-area-wide residency criteria include claims on the governments of all euro-area countries. Under the euro-area-wide residency criteria, the ECB is a resident unit, whereas under the national residency criteria, the ECB is treated as a foreign unit for all countries. Under ECB statistical reporting requirements—concerning the consolidated balance sheet of the monetary financial institutions sector—the ECB is to be classified as a resident of the country in which it is physically located (Germany).

Data Dissemination

National Data Release and Publication

7.67 Most countries have longstanding practices of national dissemination of their monetary statistics through press releases, central bank bulletins and/or other national publications, and through reporting of monetary data for country presentations (called country pages) in the IMF’s IFS and for analytical use within the IMF.27 In the Internet age, a number of countries have established the dissemination of their monetary and other macroeconomic statistics through national websites.

7.68 Links to summary monetary data at national websites are shown on the Dissemination Standards Bulletin Board (DSBB) at the IMF’s external website (www.imf.org). Posting of these summary monetary data (and other macroeconomic indicators) is a requirement for countries that subscribe to the Special Data Dissemination Standard (SDDS). Established by the IMF in 1996, the SDDS is designed to inform international capital markets about countries whose data coverage, periodicity, timeliness, and transparency practices meet international standards.28

7.69 Established by the IMF in 1997, the General Data Dissemination System (GDDS) is a developmental framework wherein countries work to improve the comprehensiveness and reliability of their macroeconomic statistics as a step toward meeting the SDDS requirements. SDDS subscription and GDDS participation are voluntary, but a country must observe all SDDS requirements to maintain an SDDS subscription.29

7.70 Further impetus for adherence to international standards for the monetary statistics has been fostered by the global availability and high visibility of countries’ monetary statistics through access to Internet sites. The means for implementing the international standards are provided by using the MFSM and this Guide, the SDDS or GDDS framework, and the standardized report forms and accompanying guidelines for submission of monetary statistics to the IMF (see ¶7.58–7.64, above). Adoption of the international standards is also facilitated by features of the DDSB, wherein each SDDS subscriber or GDDS participant presents metadata—descriptions of the methodology for a country’s monetary and other macroeconomic statistics. Compilers at the national level and IMF staff members work closely on development of the metadata. For the monetary and financial statistics, this work centers on implementation and documentation of methodology that is based on the MFSM and this Guide.

International Financial Statistics

7.71 The presentation of the monetary data in the IFS country pages is being revised in parallel with the implementation of the MFSM methodology and the adoption of standardized data reporting by the countries. Each country page will include sections for Central Bank, Other Depository Corporations, and Depository Corporations, presenting data in the format of the CBS, ODCS and DCS, respectively. Sections for Other Financial Corporations and Financial Corporations Survey also will be included for those countries in which the reporting of OFC data has been established. The country page will also have a Monetary Aggregates section to present data for broad money (for example, M3) and its components, lower-ordered monetary aggregates (for example, M1 and M2), and broad money on a seasonally adjusted basis.30

7.72 The Central Bank section of the country page will replace the Monetary Authorities section in which the central government’s currency issue, indebtedness to the IMF, and international reserve holdings (in countries where applicable) were included in the presentation.31 The Other Depository Corporations section was previously captioned as Banking Institutions, and Depository Corporations Survey was formerly shown as Banking Survey.32

7.73 Introduction of the revised presentation of the IFS country pages cannot be accomplished in one step, because of inability of all countries to implement introduction of the SRFs and associated reporting to the IMF as of a single date. Therefore, the country pages in IFS still contain the unrevised presentation for countries. During the transition period, the monetary data for countries that already are reporting SRF data on a monthly basis are shown in the revised presentation in country pages of the quarterly Supplement to International Financial Statistics. Country pages for these countries continue to appear also in the unrevised form in IFS. The revised presentation will be introduced in IFS, when all countries with country pages have established the reporting of SRF data.

Supplementary Data

7.74 An illustrative set of disaggregated data for sectoral-balance-sheet accounts of the central bank, ODCs, and OFCs is shown in Table 7.14 in Annex 7.5.33 Some dimensions of data disaggregation are presented in the MFSM (Box 7.1, p. 76). The categories in Table 7.14 were parsimoniously chosen to represent the basic types of supplementary data that are of analytical interest for the FCs sectors in most or all countries. As indicated in the MFSM (¶391), other categories of supplementary data may be of interest in a particular country. This Guide recommends that the supplementary data should be compiled for end-of-period stocks, recognizing that, at a later stage, some countries may wish to compile flow data for the supplementary categories.

Table 7.14.Supplementary Data for the Central Bank, ODCs, and OFCs(Supplements to Forms ISR, 2SR, and 4SR)
ASSETS
DEPOSITS
Deposits—Claims on nonresidents
Short-term deposits
Long-term deposits
SECURITIES OTHER THAN SHARES
Securities issued by the central bank (supplements to Form 2SR and Form 4SR only)
Short-term securities—Denominated in national currency
Long-term securities—Denominated in national currency
Short-term securities—Denominated in foreign currency
Long-term securities—Denominated in foreign currency
Securities issued by ODCs
Short-term securities—Denominated in national currency
Long-term securities—Denominated in national currency
Short-term securities—Denominated in foreign currency
Long-term securities—Denominated in foreign currency
Securities issued by OFCs
Short-term securities—Denominated in national currency
Long-term securities—Denominated in national currency
Short-term securities—Denominated in foreign currency
Long-term securities—Denominated in foreign currency
Securities issued by central government
Short-term securities—Denominated in national currency
Long-term securities—Denominated in national currency
Short-term securities—Denominated in foreign currency
Long-term securities—Denominated in foreign currency
Securities issued by state and local government
Short-term securities—Denominated in national currency
Long-term securities—Denominated in national currency
Short-term securities—Denominated in foreign currency
Long-term securities—Denominated in foreign currency
Securities issued by public nonfinancial corporations
Short-term securities—Denominated in national currency
Long-term securities—Denominated in national currency
Fixed-rate securities on a coupon basis (including deep-discount basis)
Variable-rate securities on a coupon basis
Other securities (mainly, zero-coupon bonds)
Short-term securities—Denominated in foreign currency
Long-term securities—Denominated in foreign currency
Fixed-rate securities on a coupon basis (including deep-discount basis)
Variable-rate securities on a coupon basis
Other securities (mainly, zero-coupon bonds)
Securities issued by other nonfinancial corporations
Short-term securities—Denominated in national currency
Long-term securities—Denominated in national currency
Fixed-rate securities on a coupon basis (including deep-discount basis)
Variable-rate securities on a coupon basis
Other securities (mainly, zero-coupon bonds)
Short-term securities—Denominated in foreign currency
Long-term securities—Denominated in foreign currency
Fixed-rate securities on a coupon basis (including deep-discount basis)
Variable-rate securities on a coupon basis
Other securities (mainly, zero-coupon bonds)
Securities issued by nonresidents (all sectors of other countries)
Short-term securities
Long-term securities
LOANS
Loans to public nonfinancial corporations
Short-term loans—Denominated in national currency
Long-term loans—Denominated in national currency
Fixed-rate loans
Variable-rate loans
Short-term loans—Denominated in foreign currency
Long-term loans—Denominated in foreign currency
Fixed-rate loans
Variable-rate loans
Loans to other nonfinancial corporations
Short-term loans—Denominated in national currency
Long-term loans—Denominated in national currency
Fixed-rate loans
Variable-rate loans
Short-term loans—Denominated in foreign currency
Long-term loans—Denominated in foreign currency
Fixed-rate loans
Variable-rate loans
Loans to other resident sectors (mainly households)
Short-term loans—Denominated in national currency
Long-term loans—Denominated in national currency
Fixed-rate loans
Real estate (mortgage and home-equity loans)
Consumer installment loans
Other loans
Variable-rate loans
Consumer loans
Other loans
Short-term loans—Denominated in foreign currency
Long-term loans—Denominated in foreign currency
Fixed-rate loans
Variable-rate loans
Loans to nonresidents (all sectors in other countries)
Short-term loans—Denominated in national currency
Long-term loans—Denominated in national currency
Fixed-rate loans
Variable-rate loans
Short-term loans—Denominated in foreign currency
Long-term loans—Denominated in foreign currency
Fixed-rate loans
Variable-rate loans
SHARES AND OTHER EQUITY
Shares and other equity issued by all domestic sectors
Shares in investment pools (mutual funds, unit trusts, and other collective investment units)
Other shares and other equity
Quoted shares (traded in active markets)
Other equity (including proprietors’ net additions to equity of quasi-corporations)
Shares and other equity issued by nonresidents
Shares in investment pools (mutual funds, unit trusts, and other collective investment units)
Other shares and other equity
Quoted shares (traded in active markets)
Other equity (including proprietors’ net additions to equity of quasi-corporations)
FINANCIAL DERIVATIVES
Financial derivatives—All domestic sectors
Forward contracts
Interest-rate swaps and forward rate agreements
Currency swaps (including cross-currency interest rate swaps)
Other swaps (equity swaps, etc.)
Other forward contracts (currency, equity, securities, gold, etc.)
Call options (stock, bond, and foreign currency; options on futures and swap contracts; etc.)
Exchange-traded options
Over-the-counter options
Put options (all types)
Exchange-traded options
Over-the-counter options
Financial derivatives—Nonresidents
Forward contracts
Interest-rate swaps and forward rate agreements
Currency swaps (including cross-currency interest rate swaps)
Other swaps (equity swaps, etc.)
Other forward contracts (currency, equity, securities, gold, etc.)
Call options (stock, bond, and foreign currency; options on futures and swap contracts; etc.)
Exchange-traded options
Over-the-counter options
Put options (all types)
Exchange-traded options
Over-the-counter options
LIABILITIES
DEPOSITS
Deposits included in broad money (central bank and ODC liabilities only)
Short-term deposits—Denominated in national currency
Long-term deposits—Denominated in national currency
Short-term deposits—Denominated in foreign currency
Long-term deposits—Denominated in foreign currency
Deposits excluded from broad money
Short-term deposits—Denominated in national currency
Long-term deposits—Denominated in national currency
Short-term deposits—Denominated in foreign currency
Long-term deposits—Denominated in foreign currency
SECURITIES OTHER THAN SHARES
Securities other than shares, included in broad money
(central bank and ODC liabilities only)
Short-term securities—Denominated in national currency
Long-term securities—Denominated in national currency
Short-term securities—Denominated in foreign currency
Long-term securities—Denominated in foreign currency
Securities other than shares, excluded from broad money—Liabilities to all domestic sectors
Short-term securities—Denominated in national currency
Long-term securities—Denominated in national currency
Short-term securities—Denominated in foreign currency
Long-term securities—Denominated in foreign currency
Securities other than shares, excluded from broad money—Liabilities to nonresidents
Short-term securities—Denominated in national currency
Long-term securities—Denominated in national currency
Short-term securities—Denominated in foreign currency
Long-term securities—Denominated in foreign currency
LOANS
Loans—Liabilities to nonresidents
Short-term loans—Denominated in national currency
Long-term loans—Denominated in national currency
Fixed-rate loans
Variable-rate loans
Short-term loans—Denominated in foreign currency
Long-term loans—Denominated in foreign currency
Fixed-rate loans
Variable-rate loans
FINANCIAL DERIVATIVES
Financial derivatives—Liabilities to all domestic sectors
Forward contracts (for swap contracts, amounts outstanding prior to payment swaps)
Interest rate swaps and forward rate agreements
Currency swaps (including cross-currency interest rate swaps)
Other swaps (equity swaps, etc.)
Other forward contracts (currency, equity, securities, gold, etc.)
Call options (all types, including options on futures and swap contracts)
Exchange-traded options
Over-the-counter options
Put options (all types)
Exchange-traded options
Over-the-counter options
Financial derivatives—Liabilities to nonresidents
Forward contracts (for swap contracts, amounts outstanding prior to payment swaps)
Interest rate swaps and forward rate agreements
Currency swaps (including cross-currency interest rate swaps)
Other swaps (equity swaps, etc.)
Other forward contracts (currency, equity, securities, gold, etc.)
Call options (all types)
Exchange-traded options
Over-the-counter options
Put options (all types)
Exchange-traded options
Over-the-counter options
MEMORANDUM ITEMS
FINANCIAL DERIVATIVES: NOTIONAL PRINCIPAL
ASSETS
Domestic sectors
Futures contracts (all types)—Notional principal
Forward contracts—Notional principal
Interest rate swaps and forward rate agreements
Currency swaps (including cross-currency interest rate swaps)
Other swaps (equity swaps, etc.)
Other forward contracts (currency, equity, securities, etc.)
Nonresidents
Futures contracts (all types)—Notional principal
Forward contracts—Notional principal
Interest rate swaps and forward rate agreements
Currency swaps (including cross-currency interest rate swaps)
Other swaps (equity swaps, etc.)
Other forward contracts (currency, equity, securities, etc.)
LIABILITIES
Domestic sectors
Futures contracts (all types)—Notional principal
Forward contracts—Notional principal
Interest rate swaps and forward rate agreements
Currency swaps (including cross-currency interest rate swaps)
Other swaps (equity swaps, etc.)
Other forward contracts (currency, equity, securities, gold, etc.)
Nonresidents
Futures contracts (all types)—Notional principal
Forward contracts—Notional principal
Interest rate swaps and forward rate agreements
Currency swaps (including cross-currency interest rate swaps)
Other swaps (equity swaps, etc.)
Other forward contracts (currency, equity, securities, gold, etc.)

7.75 In Table 7.14, the major dimensions of disaggregation of financial assets and liabilities in the form of securities other than shares and loans are:

  • Term to maturity. Short term or long term.

  • Currency of denomination. National currency or foreign currency.

  • Interest rate. Fixed rate or variable rate.

7.76 For analyzing the liquidity of deposit liabilities, the data on short- and long-term deposits complement the disaggregated data in the sectoral balance sheets, where deposits in the central bank and ODCs are divided into Deposits included in broad money (further disaggregated by transferable/other deposits) and Deposits excluded from broad money. Similarly, the liability data for securities other than shares, which are disaggregated by maturity in Table 7.14, complement the sectoral-balance-sheet data that are classified as Securities other than shares, Included in broad money and Securities other than shares, Excluded from broad money.

7.77 In Table 7.14, financial derivatives are divided into separate categories for forward contracts (disaggregated by type of contract), call options, and put options. No category is shown for futures contracts, given that futures contracts are settled on a daily basis and therefore do not have outstanding balances (nonzero stock positions). Off-balance-sheet data for notional principal of financial futures and swap-type forward contracts are shown as memorandum items in Table 7.14 in Annex 7.5. Data on notional principal contracts are important for analysis of activity in these financial derivatives, given the absence of stock data for futures contracts and the presence of potentially misleading stock data for swap-type forward contracts.34

Annex 7.1. Other Changes in the Volume of Assets (OCVA)

Introduction

7.78Tables 7.17.3 show examples of OCVA entries in the sectoral balance sheets for the central bank, ODCs, and OFCs. For illustrative purposes, the OCVA are arranged in separate columns for changes in the classification of assets/liabilities (column A), sectoral reclassification (column B), loan write-offs and provisions for loan losses (column C), and other types of OCVA (column D).

Examples for the Central Bank

7.79 Examples of OCVA entries and contra-entries in the sectoral balance sheet of the central bank are shown in Table 7.1. These are:

  • Monetization of commodity gold is recorded in Changes in the classification of assets (column A) as a decrease in Nonfinancial assets (–3) and an increase in Monetary gold (+3).

  • Loan write-offs are recorded in column C as reductions in loans to public nonfinancial corporations(–5), Other nonfinancial corporations (–3), and Other resident sectors (–2) with a corresponding reduction in provisions in the Resident-sector category of Other accounts payable—Other (–10), given that these loans previously were provisioned in full.

  • OFC reclassified as an ODC is recorded in column B as (i) a decrease in Claims in financial derivatives on OFCs (–2) with a corresponding increase in Claims in financial derivatives on the ODCs (+2); (ii) a decrease in Transferable deposits in foreign currency of the OFCs, which were included in broad money (–3) with a corresponding increase in Transferable deposits in foreign currency of the ODCs, which are excluded from broad money (+3); and (iii) a decrease in Financial-derivatives liabilities to the OFCs (–2) with a corresponding increase in Financial-derivatives liabilities to the ODCs (+2).

  • Catastrophic loss of nonfinancial assets is recorded in column D as a decrease in Nonfinancial assets (–4) with a corresponding decrease in Retained earnings (–4).

  • Appropriation of retained earnings to general and special reserves is recorded in column D as a decrease in Retained earnings (–9) and an increase in General and special reserves (+9).

Examples for Other Depository Corporations

7.80 Examples of OCVA entries and contra-entries in the sectoral balance sheet of the ODCs are shown in Table 7.2. These are:

  • OFC reclassified as an ODC is recorded in column B as an increase in Total assets (+85) and an increase in Total liabilities (+85). This reclassification resulted in an increase in ODC asset holdings in the following categories:Currency (+5),Transferable deposits (+13),Other deposits (+6),Securities other than shares (+18),Loans (+28),Shares and other equity (+4),Financial derivatives (+4), Other accounts receivable (+5), and Nonfinancial assets (+2). This reclassification led to increases in ODC liabilities in the following categories: Securities other than shares, included in broad money (+16), Securities other than shares, excluded from broad money (+10), Loans (+3), Financial derivatives (+7), Other accounts payable (+3), and Shares and other equity (+46).

  • Loans reclassified as securities is recorded in column A as a decrease of Loans to other nonfinancial corporations (–10) and an increase in Securities other than shares issued by other nonfinancial corporations (+10).

  • Corporate repos newly included in broad money is recorded in column A as a decrease of Loans from other nonfinancial corporations (–7) and an increase in Transferable deposits in national currency held by other nonfinancial corporations and included in broad money (+7).

  • The change in the definition of broad money is recorded in column A as a decrease in Securities other than shares in national currency held by other nonfinancial corporations and excluded from broad money (–1) and an increase in Securities other than shares in national currency held by other nonfinancial corporations and included in broad money (+1).

  • Loan write-offs are recorded in column C as a decrease in Loans to public nonfinancial corporations (–71), other nonfinancial corporations (–291), and other resident sectors (–179) with a corresponding decrease in Provisions within the resident–sectors category of Other accounts payable—other (–541), given that these loans were previously provisioned in full.

  • Catastrophic loss of nonfinancial assets is recorded in column D as a decrease in Nonfinancial assets (–5) and a decrease in Retained earnings (–5).

  • Appropriation of retained earnings to general and special reserves is recorded in column D as a decrease in Retained earnings (–12) and an increase in General and special reserves (+12).

Examples for Other Financial Corporations

7.81 Examples of OCVA entries and contra-entries in the sectoral balance sheet of the OFCs are shown in Table 7.3:

  • OFC reclassified as an ODC is shown in column B as a decrease in total assets (–85) and a decrease in total liabilities (–85). This reclassification resulted in an decrease in OFC asset holdings in the following categories:Currency (–5), Transferable deposits (–13), Other deposits (–6), Securities other than shares (–18), Loans (–28), Shares and other equity (–4), Financial derivatives (–4), Other accounts receivable (–5), and Nonfinancial assets (–2). This reclassification led to decreases in OFC liabilities in the following categories: Securities other than shares, excluded from broad money (–26), Loans (–3), Financial derivatives (–7), Other accounts payable (–3), and Shares and other equity (–46).

  • Securities converted into shares is recorded in column A as a decrease in Securities other than shares of other nonfinancial corporations (–2) and an increase in Shares and other equity of other nonfinancial corporations (+2).

  • Loan write-offs is recorded in column C as a decrease in Loans to public nonfinancial corporations (–13), other nonfinancial corporations (–20), and other resident sectors (–15) and a decrease in provisions in the resident-sector category of Other accounts payable—Other (–48), given that these loans previously were provisioned in full.

  • Write-offs of securities is recorded in column C as a decrease in Securities other than shares of nonresidents (–3) and a direct reduction in Retained earnings (–3), given that a provision for loss on these securities had not been made.

  • Appropriation of retained earnings to general and special reserves is recorded in column D as a decrease in Retained earnings (–12) and an increase in General and special reserves (+12).

Annex 7.2. Consolidation Adjustments

7.82 This annex comprises Table 7.4, Consolidation Adjustment: Other Depository Corporations Survey;Table 7.5, Consolidation Adjustment: Depository Corporations Survey;Table 7.6, Consolidation Adjustment: Other Financial Corporations Survey; and Table 7.7, Consolidation Adjustment: Financial Corporations Survey.

Annex 7.3. Surveys of the Financial Corporations Sector

7.83 This annex comprises Table 7.8, Central Bank Survey;Table 7.9, Other Depository Corporations Survey;Table 7.10, Other Financial Corporations Survey;Table 7.11, Depository Corporations Survey; and Table 7.12, Financial Corporations Survey.

Annex 7.4. Monetary Authorities Account

7.84 This annex consists of Table 7.13, Monetary Authorities Account.

Annex 7.5. Supplementary Data: Guidance Notes

Data Periodicity

7.85 This Guide recommends that the supplementary data should be compiled on a quarterly basis.

Financial Instrument Coverage

7.86 A single format for supplementary data for the central bank, ODCs, and OFCs is shown in Table 7.14. Most categories in Table 7.14 are applicable to each subsector of the FCs sector. Exceptions that apply to all countries are:

  • Assets: Securities issued by the central bank. This category is not applicable to the central bank, given that a central bank does not hold its own securities.

  • Liabilities: Deposits included in broad money and Securities other than shares, included in broad money. These categories are not applicable to the OFCs, which do not issue liabilities included in broad money.

7.87 Some line items in Table 7.14 are not applicable to all countries. Some central banks do not issue Deposits included in broad money and/or Securities other than shares. If issued by a central bank, Securities other than shares may be eligible for purchase by ODCs only. Even if purchasable by money-holding sectors, the central bank securities may be excluded from the country’s national definition of broad money. The central bank, central governments, and/or other economic sectors in some countries do not issue foreign-currency-denominated securities other than shares. For OFCs, the liability category of Deposits excluded from broad money applies only in exceptional circumstances in which OFCs accept deposits (all of which, for any OFC, are excluded from broad money).

Disaggregation by Maturity

7.88 Only two maturity categories—short-term and long-term—are used for the supplementary data. Financial assets and liabilities with maturities of one year or less are defined as short term, and those with maturities of more than one year are defined as long term. It is recommended that disaggregation by original or remaining maturity be based on national practice and/or data availability. Disaggregation by either original maturity or remaining maturity should be uniformly applied across the categories of financial assets and liabilities and across all FCs in a country.

Fixed- and Variable-Rate Loans and Securities Other Than Shares

7.89 In Table 7.14, long-term loans are disaggregated into separate categories for fixed-rate and variable-rate loans. Long-term Securities other than shares are disaggregated into (1) fixed-rate securities sold on a coupon basis, (2) variable-rate securities sold on a coupon basis, and (3) securities sold on a zero-coupon basis (an atypical category for long-term securities).

7.90 Disaggregation of short-term loans or short-term securities into separate categories for fixed-rate and variable-rate instruments is deemed to be unnecessary. Variable rates are seldom applied to loans or securities having original maturities of less than one year. If maturity disaggregation is based on remaining maturity, all fixed- and variable-rate loans maturing within a year are indistinguishably included in the category of short-term loans. Similarly, all fixed- and variable-rate securities with remaining maturities of one year or less are included in the single category of short-term securities. Given the short term to maturity, the market risk arising from movements in the reference rate (for example, LIBOR, a prime rate for domestic loans, or a country-specific market rate) for the variable-rate loan or security is relatively small. Most contracts for variable-rate loans and securities specify that the interest rates are subject to annual or semiannual resetting or, at most, quarterly resetting. During the year just prior to maturity, loans and securities subject to annual resetting have fixed rates for the remaining term, and those subject to semiannual resetting have, at most, one remaining interest rate reset.

The sectoral balance sheets used to derive the illustrative surveys of the FC sector are contained in Tables A1.1A1.3 of Appendix I of this Guide.

This statement holds at the level of central bank units in countries that belong to currency unions. An exceptional case is a currency union that has a unionwide central bank, but no central bank units for individual countries belonging to the union. Another exceptional case is a few small countries that do not have central banks. For the exceptional cases, the reporting procedures described in this section pertain to reporting to government agencies and/or FCs other than central banks, which are responsible for obtaining the data on central-bank-type activities at the national level.

It may be tempting to use a preexisting form on which ODCs have been reporting prior to adoption of the methodology in the MFSM and this Guide. An ODC would provide the data for the categories on the report form, along with supplementary data for the compiler’s use in reformulating the data in accordance with the methodology of the MFSM and this Guide. Adoption of this approach would overburden the monetary statistics compilers and would compromise the quality of the data. It is highly recommended that this approach be avoided.

Alternatively, the reporting requirement can be stated in terms of the line items of Form 4SR, which are used for OFC data reporting to the IMF.

An exception is margin deposit accounts at securities and financial derivatives dealers.

For example, an OFC that specializes in retail financial services may have no liabilities to the central bank, central government, state and local government, public nonfinancial corporations, or nonresidents.

These categories appear in the 1993 SNA, along with other categories pertaining to accounts of nonfinancial corporations and government units—Economic appearance of produced assets, Natural growth of non-cultivated biological resources, and Economic disappearance of nonproduced assets (1993 SNA, ¶12.4–12.62).

Reclassification of an ODC as an OFC is a less likely case, arising when an ODC no longer issues liabilities included in broad money. It is more common for OFC liabilities to be newly included in broad money, necessitating the ODC reclassification. Reclassification often may apply to several OFCs at the same time.

This example illustrates that the sectoral reclassification affects broad money, given that OFCs usually are treated as money holders (see MFSM, ¶316–320). By becoming an ODC, the former OFC has been transformed from a money holder to a money issuer.

This applies to offshore FCs that issue some liabilities included in broad money and therefore are classified as ODCs. If offshore FCs are classified as OFCs, the separate data for offshore FCs can be obtained by aggregating the data from their submissions for the sectoral balance sheet for OFCs.

Availability of these data compensates, to a limited extent, for the grouping together of these institutional units in the category of OFCs—a basic sectorization feature of the monetary statistics methodology.

This treatment of dividends receivable is based on practicality. In many countries, most dividends arise from holdings of equity shares of nonfinancial corporations. In the national context, Dividends receivable can be disaggregated and allocated to Claims on other DCs and Claims on other FCs, as well as to Claims on other nonfinancial corporations, if FCs’ holdings of dividend-paying shares in ODCs and OFCs are significant. In a few countries, ODCs (and possibly OFCs) hold central bank shares, but dividends on these shares are minor items.

The liability categories for national currency are Currency in circulation (in the CBS), Currency outside DCs (in the DCS), and Currency outside FCs (in the FCS). Monetary base—a liability classification in the CBS only—is covered in Chapter 6 of both the MFSM and this Guide.

Compilation of broad money for countries in which the national definitions include liabilities of central government, other nonfinancial sectors, or nonresidents is described in Chapter 6 of this Guide.

The FCS data for Deposits and Securities other than shares are useful for analysis of other sectors’ claims on the FCs sector, but are of limited value for monetary analysis. These data include deposits and securities excluded from broad money, but exclude the OFC’s holdings of deposits and securities included in broad money.

In exceptional circumstances, the central bank also holds equity shares of an ODC or OFC.

The aggregate data for shares and other equity are appropriate in the context of the monetary statistics, given that equity liabilities are recorded at book value, whereas equity holdings are at market or fair value. Though not part of the surveys, consolidated data on equity of the central bank, ODCs, or OFCs can be calculated from the data for market or fair value of central bank, ODC, and OFC equity, which are disaggregated by holding sector in the memorandum items of the sectoral balance sheets.

OFC loans to DCs do not appear in the illustration, where all OFC placements of funds in DCs are assumed to take the form of deposits. However, this category could appear in a national context if, for example, an OFC provided a loan (rather than deposit) to a parent or subsidiary ODC.

In earlier presentations of the monetary authorities account, the contra-entries to the liability entries for central government issuance of currency and central government indebtedness to the IMF were indistinguishably included in the line item for central bank claims on central government, and the contra-entry for central government holdings of international reserves was indistinguishably included in the line item for central government deposits in the central bank.

The SRFs are applicable to data reporting by each country that reports monetary data directly to the IMF. A more detailed reporting format is used for monetary-union-member countries that report their monetary data to a monetary-union headquarters that transmits each union-member country’s data to the IMF. The reporting formats for these countries are consistent with the SRF format but contain additional line items to account for a dichotomy of nonresident classifications—within-union nonresidents and outside-union nonresidents—in the data for a union-member country.

Form 5SR is described in Chapter 6, which covers issues that pertain to monetary aggregates.

Reporting of international reserves in conformity with the template is required only for subscribers to the IMF’s Special Data Dissemination Standard (SDDS) (see ¶7.68–7.69, below).

IMF No. 1 Account balancesnot subject toexclusion is a deposit liability to the Fund, which is used to cover part of the country’s IMF quota subscription. IMF No. 1 Account balancessubject toexclusion is a deposit liability that is the contra-entry to a country’s use of IMF resources (that is, purchase of another country’s currency) through the IMF’s General Resource Account within the IMF’s Finance Department. Suppose a country that did not lend to the IMF had a Quota subscription (Q) of 120 and an IMF No. 1 Account (N1) balance of 160, including a balance subject to exclusion (E) in the amount of 50. Reserve position in the Fund (RPF) would be equal to 10, calculated as RPF = Q(N1E) = 120 – (160 – 50) = 120 – 110 = 10.

Securities, immediately encashable by the IMF, sometimes are substituted for deposits in the IMF No. 1 Account. As indicated in Chapter 4, these securities are classified as transferable deposits.

The countries include those that belong to the European Economic and Monetary Union (EMU: the euro area), a number of other members of the EU, and other European countries that have adopted the ECB’s framework.

The IFS page for each euro-area country contains monetary statistics on both national and euro-area-wide residency bases. IFS also includes a euro-area page, which shows the monetary data consolidated for the Eurosystem. The Introduction (see pp. xvi–xix) in the monthly issue of IFS contains information on the creation of the Eurosystem, euro banknotes and coins, the euro clearing system (TARGET), and the euro-area data in IFS.

Euro-area countries transmit their monetary and financial statistics to the ECB, which consolidates the data across EMU member countries. The consolidated data are disseminated in ECB releases, its Monthly Bulletin, and other Eurosystem publications.

See IMF (2007a). Information on the DSBB and SDDS is also available at http://dsbb.imf.org/Applications/web/dsbbhome/.

As of December 2007, 64 of the 185 member countries of the IMF were SDDS subscribers, and 90 member countries were GDDS participants. Each SDDS subscriber is required to establish summary country data to be hyperlinked to the DDSB. For information on the GDDS, see IMF (2007b).

The monetary aggregates are covered in Chapter 6 of this Guide.

The Monetary authorities account is explained in ¶7.55–7.57 and is illustrated in Annex 7.4. After adoption of the new presentation, IFS users still will have access to data on the central government’s indebtedness to the IMF and international reserve holdings (in the Liquidity section of the IFS page), as well as data on government currency issue (in the Monetary Aggregates section).

IFS presentations for some countries contain sections for Deposit Money Banks—only those ODCs that issued transferable deposits—and Monetary Survey, which consolidates the data for the Monetary Authorities and Deposit Money Banks accounts. These presentations will be discontinued after a country commences reporting for all ODCs in the standardized form (Form 2SR).

Table 7.14 is subtitled as Supplements to Forms 1SR, 2SR, and 4SR. At present, the supplementary data are not reported to the IMF. If reported in the future, the supplementary data would be provided, at quarterly (or annual) intervals, along with the Forms 1SR, 2SR, and 4SR submitted for the same reporting date.

Periodic swap payments between a party and counterparty to these contracts create volatility in the outstanding amounts over the life of the swap contracts (see Chapter 5, ¶5.247–5.263). Flow data for futures and swap contracts are included in the total flows for financial derivatives in the framework of the sectoral balance sheets, but are not disaggregated into separate flow categories for futures and swap contracts. The memorandum items for notional principal of futures and swap contracts partially fill the gap by providing data for estimating the expected flows for these contracts.

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