ICP 7-th Regional Coordinators Meeting World Bank, Washington D.C. Interstate Statistical Committee of the Commonwealth of Independent States (CIS-STAT) CIS ICP – September 2012 Status Report Andrey KOSAREV ICP 7-th Regional Coordinators Meeting World Bank, Washington D.C. September 19-21, 2012

Issues I. Household consumption survey II. Other price surveys III. National accounts activities IV. Overall risk assessment V. Upcoming regional activities 2 2

I. Household consumption survey Prices for 2344 consumer goods and services were collected by the CIS countries during 2011. Average annual prices for consumer items were submitted by the national statistical services to the CIS-STAT. The key point in the validation process was the discussion at the regional meeting in Moscow, on June 18-22, 2012. The ICP experts from 9 CIS countries and the CIS-STAT attended the meeting. Y.Dikhanov and S.Sergeev took part in the discussion. A coordinated decision was adopted; countries realized necessary adjustments during the July and submitted the corrected data to the Regional Coordinator. After introducing comments and corrections into the price data, the preliminary average annual prices for consumer items were sent to the ICP Global Office in August, 2012. 3 3

II. Other price surveys (1/4) Machinery and equipment The CIS regional list of investment items contains 563 items. The average annual prices for investment items were received by the CIS-STAT from the countries at the beginning of March 2012. Verification and reconciliation of prices for investment items took place at the regional meeting of CIS experts on March 27-30, 2012 in Moscow. The diagnostic tables were discussed and the errors were revealed. Adjusted data on prices for machinery and equipment were sent to the Regional Coordinator in August, 2012. The diagnostic tables show some small questions remained. The finally validated price data on machinery and equipment will be sent to the ICP Global Office by December, 2012. 4 4

II. Other price surveys (2/4) Construction Comparisons on construction in the CIS ICP is based on the method of Resource-Technological Models (RTM) which envisages: - provision by statistical services of the CIS countries of the information on average prices for 65 kinds of unified construction materials and statistical information on the wages and selected value indicators; - centralized computation of cost for 104 construction projects with the account of their representativeness at the domestic markets of the countries. The validation of the price data took place at the regional meeting on March 27-30, 2012 in Moscow. At present the procedure of reconciliation of data and computation of estimated costs of construction objects by RTM method is being continued. After the completion of the computation it is envisaged to make a linkage of data with regard to comparative construction materials. 5 5

II. Other price surveys (3/4) Dwelling services The method of quantity indicators with adjustment for the differences in the quality of dwellings is applied to compare dwelling services as a component of GDP for the countries of the CIS region in the 2011 Round, like in previous comparisons. The deadline for the submission of the quantity data for comparisons of dwellings to the Regional Coordinator is September-October 2012. The quantity data on prices for dwellings will be sent to the ICP Global Office by December, 2012. 6 6

II. Other price surveys (4/4) Compensation of employees Survey of compensation of employees is carried out on a regular annual basis. The Questionnaire on compensation of employees is brought into line with the Questionnaire of the Global Office and that one of the OECD/Eurostat. The deadline for the submission of data on compensation of employees for non-market services to the Regional Coordinator is October-November 2012. Information on compensation of employees for non-market services will be sent to the ICP Global Office by February, 2013. Education The survey of prices for education services is a component of a standard observation of prices and is a part of the regional list of consumer goods and services. Information was submitted to the ICP Global Office in August, 2012. 7 7

III. National accounts activities Classification of GDP expenditures for 2011 comparisons was prepared and presented to the countries at the CIS regional meeting of experts at the end of 2010. The CIS ICP classification of GDP expenditures includes 183 basic headings (instead of 155 in the standard ICP classification). The CIS ICP data on GDP expenditures will be adjusted to the standard ICP classification and will be comparable with the data of other regions. A Questionnaire was elaborated for the GDP data on basic headings in national currency in accordance with the GDP expenditures classification, and recommendations on filling out the questionnaire will be discussed with the experts. The disaggregation of GDP by basic headings for 2011 is scheduled to be done by all participating countries and sent to the Regional Coordinator in February-March, 2013. 8 8

IV. Overall risk assessment At present there are no grounds to consider any serious risks which could threaten the successful execution of works on comparisons in the CIS region. The occurred risk: as it was informed before, Uzbekistan de-facto does not participate in the comparisons in the CIS region. 9 9

V. Upcoming regional activities (1/7) 2012 September-October –  submission of quantity data for the dwellings comparisons to the Regional Coordinator October-November –  submission of data on compensation of employees for non-market services comparisons to the Regional Coordinator December –  submission of average annual prices for investment items to the ICP Global Office December –  submission of average annual prices for construction materials to the ICP Global Office December –  submission of data on prices for dwelling services to the ICP Global Office 10 10

V. Upcoming regional activities (2/7) 2013 February – submission of data on compensation of employees for non-market services to the ICP Global Office February-March – submission of preliminary GDP data in national currency for 2011 in accordance with the classification of the GDP expenditures to the Regional Coordinator April – meeting of the CIS experts on GDP disaggregation March-April – meeting of the CIS ICP Coordination Council April-May – computation of preliminary results of the CIS ICP May-June – meeting of the CIS experts to discuss preliminary results of the CIS ICP July – update of the data of the CIS ICP August-September – computation of the results of the CIS ICP 11 11

V. Upcoming regional activities (3/7) 2013 September – submission of regional results of the CIS ICP to the OECD for integration with the results of the OECD/Eurostat and further linking with the global results September – submission of regional results of the CIS ICP to the ICP Global Office for experimental linking with the global results 12 12

Linking the CIS ICP results to the Global ICP results V. Upcoming regional activities (4/7) Linking the CIS ICP results to the Global ICP results Global ICP OECD/Eurostat Round 2011: experimental linking Round 2005, Round 2011: regular linking CIS ICP 13 13

V. Upcoming regional activities (5/7) 2013 October – getting experimental linking of the CIS ICP with the global results from the ICP Global Office October – meeting of the CIS experts to discuss the results of experimental linking with the global results November – meeting of the CIS ICP Coordination Council October-November – consideration of the last adjustments of the countries and computation of “final-final” results November – transfer of “final-final” results of the CIS ICP to the OECD November – transfer of “final-final” results of the CIS ICP to the ICP Global Office 14 14

V. Upcoming regional activities (6/7) 2014 March – meeting of the CIS experts on the analysis of results of comparisons in construction, harmonization of methodology April – meeting of the CIS ICP Coordination Council during the year – dissemination of the results of the Global round of ICP 2011 in the CIS region 15 15

V. Upcoming regional activities (7/7) In the framework of the ICP advocacy activity in the CIS region, the CIS-STAT intends to translate the ICP Book into Russian. We started the translation and will carry out it in accordance with disposable resources. In order to introduce our users into the ICP matter better and faster, the sequence of chapters for translation will not follow the sequence in the Book strictly, e.g.: after some first chapters containing a general description of the ICP, the chapter 23 concerning the application of PPPs in the IMF country estimations will be translated to show the practical importance of the ICP data. The translated ICP Book will be posted at the CIS ICP web-site; first texts will be available by October, 2012. 16 16

Thank you 17 17