1. Informal Sector Statistics
Sri Lanka
Informal Sector Statistics
Informal Sector Statistics Training
Bangkok, Thailand | November 2017

2. Outline of presentation
Definition of informal sector
Status of the informal sector in your country
Country policies for informal sector
Current statistics being produced
What data sources do you collect?
National Accounts and the informal sector
Country specific issues in statistics
Development plans
How development partners can help

3. Definitions Definition of informal sector – policy perspective
If any economic activity which is not registered with the tax dept.is called informal
Definition of informal sector – ( Economic Census)
An entity/economic activity/enterprise is considered informal if
It does not maintain complete set of accounts
and
Having less than 10 employees being unincorporated or

4. Status of informal sector statistics
51% of GDP
60.2% of labour force
Nature of employment
By Gender
Male
63.4%
Female
54.4%
By Economic Sector
Agriculture
87.5%
Non- Agriculture
50.1%

5. Status of informal sector statistics
Key indicators(Economic Census)
Economic Census 2013/14

6. Status of informal sector statistics
SDG 8 - Promote sustained, inclusive and sustainable economic growth, full and productive employment and decent work for all
Employment category
Formal Sector
Informal Sector
Total
No. %
Employees
2,874,407
36.2
1,721,170
21.7
4,595,577
57.8
Employer
88,653
1.1
128,562
1.6
217,215
2.7
Own account worker
140,682
1.8
2,371,068
29.8
2,511,750
31.6
Contributing family worker
59,320
0.7
563,821
7.1
623,141
7.8
3,163,062
39.8
4,784,621
60.2
7,947,683
100.0
Source : Sri Lanka Labour Force Survey

7. Status of informal sector statistics
SDG 10 - Reduce inequality within and among countries
Source : Household Income and Expenditure Survey

8. Country polices
Country policies and development plans for the informal Sector
In Sri Lanka informal sector was not stable in the past
Trade liberalization and encouragement of export led industrialization policy implemented after 1977 made the informal sector shrinking
The present policy related to the industrial sector is to encourage SMEs

9. Country polices
Country policies and development plans for the informal Sector
The process of industrial restructuring in the formal sector has led to a greater decentralization of creation of small enterprises most of which are informal in nature through sub- contracting
Regional development plans include supporting micro enterprises
Financial support through loan facilities to start business

10. Data sources
Existing data collection activities and methodologies / or plans
Economic Census 2013/14
Annual Surveys on Industry, Trade and services (ASITS)
Sri Lanka Labour force survey (LFS)

11. Data sources Details of the surveys Survey ASITS LFS Survey Method
Full enumeration
Sample Enumeration
Sample Survey
Data Collection
Postal
Interview
Sampling Design
Stratified random sampling
Strata
District
Activity
Type of Persons engaged
Sector (Urban/Rural/estate)
Frequency
Annual

12. National Accounts
How is the informal sector included in the national accounts?
For GDP estimates some wage related indictors are used to measure the informal sector contribution
Used proxies
Number of employment of the informal sector

13. Issues What big issues do you face / need to resolve?
Updating the informal sector frame
Response rate
Lack of awareness of the public
Policy issues?
Contribution of stake holders to succeed the SBR
SDG indicators for goals 8 &10

14. Development plans for NSO
Plans to develop and enhance informal sector statistics
Getting the updated frame through SBR
Training the staff
Launching awareness campaign for respondents

15. Development plans for NSO
Priorities for the development of informal sector statistics
Rank
event 1
Maintaining the SBR properly 2
Drawing sample using the updated frame from SBR 3
Training the staff on calculating and analyzing informal statistics 4
Conducting publicity campaign targeting the respondents

16. Development partners How can the development partners help you?
Rank priorities for development partner assistance

17. Q&A