Presented by William E. Alexander Deputy Director Statistics Department International Monetary Fund Third International Roundtable Managing for development Results Hanoi, Vietnam February 5 –8, 2007 Disclaimer: The views expressed in this paper are those of the authors and should not be attributed to the International Monetary Fund, its Executive Board, or its management. The General Data Dissemination System (GDDS) —How to Strengthen the Link Between Capacity Building in Statistics and the National Development Strategies

2 The Presentation Will Cover the Following: u Discuss the key goals of statistical capacity building and development strategies, noting the common features and the differences. u Review the evolving policy frameworks and demonstrate the case that linking statistical capacity building (e.g., the GDDS) to development strategies (e.g., the PRSP): – provides better defined goals and strengthening monitoring to achieve them. – integrates statistical reforms in the PRSP and featuring funding for such reforms. – provides instruments such as budgetary and data quality assessment frameworks to help measure progress. – contributes to better coordination of activities to enhance synergies. – contributes to better donor and partner country collaboration and aid effectiveness.

3 – Some common grounds: gradual, different starting positions for countries requires team effort, country ownership, and sustained effort to succeed. – But different roles for statistics: quality data is end result goal/objective-oriented and normally define some attainable broad indicators better results achieved by advocacy role to promote a context e.g., a development strategies within which the relevance of data can be measured. relies on statistics as a measuring tool to establish benchmark progress markers, and desired objectives, depending on availability of quality statistics. – With potential synergies from integrated frameworks: goal orientation of development strategies provide a powerful context within which to evaluate usefulness/relevance of data. integration of statistical capacity building in development strategies enhance ability to measure and monitor progress toward desired goals. Capacity building in statistics is a process, which entails long-term assistance (e.g., technical assistance, training, and funding) to target country. National development strategies are tools to direct a country towards agreed goals to improve conditions.

4 Capacity Building I Goals/Objectives (Good data, but in what context?) Capacity Building in Statistics in Partner Countries Domestic Resources Technical Assistance (Expertise) Specialized Training Financial Resources Infrastructure Legal Framework Long-Term Training IT/Computer resources Vehicles/Buildings (long-term process)

5 Development Strategy 2002 e.g., Monetary Consensus (IMF, World Bank, Donors, Partner Countries) Goals/Objectives MDGs/PRSP Goals Timebound 2010 Poverty Reduction in Partner Countries Domestic Resources Technical Assistance (Expertise) TrainingFinancial Resources PRSP (Priorities) Medium-Term Expenditure Framework Measurement Tool Strategy Infrastructure Long-Term Training IT/Computer LAN Vehicles/Buildings Infrastructure Legal Framework Long-Term Training IT/Computer resources Vehicles/Buildings Value Added

6 Marrakech Action Plan Capacity Building 2004 (incorporating the IMF’s GDDS/SDDS/DQAF/ROSC) Goals/Objectives SDDS subscription Quality statistics Data context Capacity Building in Statistics in Partner Countries Domestic Resources Technical Assistance (Expertise) TrainingFinancial Resources GDDS NSDS Data Quality Assessment Framework ( DQAF), data ROSCs Infrastructure Long-Term Training IT/Computer LAN Vehicles/Buildings Infrastructure Legal Framework Long-Term Training IT/Computer LAN Vehicles/Buildings Value Added

7 Paris Declaration 2005 (IMF, World Bank, Donors, Partner Countries) Goals/Objectives MDGs (2010) Other PRSP Goals Paris Declaration SDDS (Markets) Capacity Building in Statistics and Poverty Reduction in Partner Countries Domestic Resources Technical Assistance (Expertise) TrainingFinancial Resources MTEF DQAF Data ROSCs Statistical plans are costed. PRSP Incorporates statistical plans for improvement. Aid effectiveness Accountability Governance Evidence-based monitoring PRSP --- GDDS NSDS Infrastructure Legal Framework Long-Term Training IT/Computer LAN Vehicles/Buildings Value Added

8 Linking Capacity Building in Statistics with Development Strategies Generic Capacity Building in Statistics Poverty Reduction MAPS IMF GDDS/ROSC Paris 21 NSDS Paris Declaration on Aid Effectiveness Strategies InstrumentsGoals/Objectives Good data but in what context? PRSPMTEF MDGs – (2010) Other PRSP goals GDDS NSDS DQAF Data ROSCs International Data Standards SDDS subscription Markets/credit ratings PRSP GDDS NSDS MTEF DQAF Data ROSCs MDG (2010) Other PRSP goals SDDS/Markets (Data Standards) Accountability/Transparency Governance Aid effectiveness Streamlined procedures Framework

9 Outcomes/Benefits OF Mainstreaming Statistics in Development Strategies Paris Declaration Better Bretton Woods Institutions/ Donor/ Partner Country Collaboration Aid effectiveness Streamlined procedures Accountability/Transparency Evidence-based monitoring Synergies (two-way effects) Access to capital markets Embedded statistical strategies within development strategies Various instruments to measure/ assess quality and cost structure Several well- defined goals enriched by broader context which enhance value of data FrameworkStrategiesInstrumentsGoals/Objectives

10 The GDDS Project 1 and Statistical Capacity Building Encompasses… u The integration of the GDDS plans for improvement into the PRSP to provide a policy framework within which to evaluate the desired improvement in the data quality. The approach enhances the national priority for statistical reforms and facilitates their funding. u Better coordination between the Breton Woods Institutions, DFID, the partner countries, and regional organizations while promoting south to south cooperation. u A modular approach to enhance the effectiveness of technical assistance by strengthening accountability for both partner countries and providers. It incorporates regional coordination by covering several countries to promote shared experiences. u Periodic reviews to measure progress, thus, reinforcing the emphasis on evidence-based monitoring. 1 A brief description of the GDDS Project is attached.

11 ConclusionsConclusions u Capacity building in statistics, e.g., the GDDS, needs to be mainstreamed in development in strategies like a PRSP in order to: – gain from well-defined PRSP goals and better use of end-product data to measure progress. – gain from enhanced priority and funding within the overarching development strategy. – the PRSP also benefits from built-in mechanism to promote evidence-based monitoring. – provide for instruments such as budgetary and data quality assessment frameworks to help measure progress. – contribute to better coordination of activities to enhance synergies. – contribute to better donor and partner country collaboration and aid effectiveness. u The GDDS successor project embodies all of these desirable outcomes.

12 Attachment The GDDS Phase 2 Project for Anglophone Africa As a successor to the General Data Dissemination System (GDDS) project for Anglophone Africa, a new project is being sponsored by DFID. It will continue to help countries to introduce internationally accepted methodologies and good practices for official statistics. The project will focus on results and regional interaction by offering defined technical assistance modules, which can be planned, implemented and assessed in a coordinated manner. This approach aims at sustained capacity building through measurable improvements in agreed areas, and encourages mutual commitment to results and ownership both from the participating countries and the providers of technical assistance. The new project (“Modules for Strengthening Statistics” 2006–2009) has been expanded to cover 21 countries in Africa, practically all that use English as a working language. The project is executed jointly by the IMF and World Bank, so as to support countries in improving the quality of key macroeconomic and financial as well as sociodemographic statistics and poverty reduction strategies. Technical assistance will include expert visits, hands-on training, and country group workshops to share experiences and learn best practices. The expanded project was launched in September 2006 in Cape Town. The project will continue to encourage countries to align the activities to national priorities and enhance coordination and effective use of intra-agency arrangements. To ensure enhanced interaction and collaboration, the countries will work closely with subregional and regional agencies and with other technical assistance providers in statistics. Efforts will be made to assist countries which wish to graduate from the GDDS to the Special Data Dissemination Standard (SDDS) to promote access to capital markets and better integration into the global economy. The first phase of the project, 2001–2006, involved 15 countries and all except one reached the objective of becoming a GDDS participant, having successfully prepared metadata and plans for improvement, and posted both on the IMF’s Dissemination Standards Bulletin Board (DSBB). The original project sponsored more than 200 technical assistance visits and supported national GDDS awareness workshops in most countries.