1. Revision of SNA 1993 State of Play
Christoph Maier

2. Content
The SNA revision process
Major revision issues

3. The SNA revision process
Revision process started in 2003
To be completed in March 2008 with the publication of “SNA 1993, Rev. 1“
Followed by update of ESA 1995
Actors: ISWGNA, AEG, various expert groups, countries

4. Issues for SNA revision
Total of 44 issues for revision
Non-financial issues, e.g. R&D, government owned assets, military expenditures
Financial issues, e.g. unfunded pensions schemes, non-performing loans
Items related to units, residency and transaction with ROW

5. Capitalization of R&D
R&D expenditure currently treated as intermediate consumption
Proposal for change: treat all expenditure on R&D as capital formation (“knowledge asset“)

6. Return on capital on government assets
Current SNA:
non-market output
= IC + CoE + T – S + CFC,
i.e. no net operating surplus
Proposal for change:
= IC + CoE + T – S + CFC + rate of return

7. Military assets Current SNA: Proposal for change:
All police durables and military durables with potential civilian use counted as assets
Military weapon systems treated as IC
Proposal for change:
Treat all military durables including weapons as assets

8. A regional accounts chapter in SNA?
Current SNA: regional accounts only briefly mentioned
Proposal:
No extra chapter on RA
Extra handbook with guidelines