Reference metadata describe statistical concepts and methodologies used for the collection and generation of data. They provide information on data quality and, since they are strongly content-oriented, assist users in interpreting the data. Reference metadata, unlike structural metadata, can be decoupled from the data.
Istat, the Italian National Institute of Statistics
1.2. Contact organisation unit
Directorate for National Accounts
1.3. Contact name
Restricted from publication
1.4. Contact person function
Restricted from publication
1.5. Contact mail address
Istat, Direzione Centrale per la Contabilita' Nazionale
Via Cesare Balbo 16 00184 - Roma - Italy
1.6. Contact email address
Restricted from publication
1.7. Contact phone number
Restricted from publication
1.8. Contact fax number
Restricted from publication
2.1. Metadata last certified
31 January 2022
2.2. Metadata last posted
31 January 2022
2.3. Metadata last update
31 January 2022
3.1. Data description
National accounts data concern all data produced and disseminated for an economy according to the definitions and guidelines of the European System of Accounts (ESA 2010).
National accounts provide data for the total economy, but may include breakdowns of the total economy (into sectors, industries, products, regions, etc.). National accounts provide data for several domains: annual and quarterly national accounts (main aggregates), sector accounts, financial accounts, supply and use and input-output tables, regional accounts and government finance statistics.
One of the main aggregates of national accounts is the rate of change of gross domestic product in volume, which is a synthetic indicator of the economic development of a country (or a region).
In Eurobase, countries' data are presented following the usual data structure.
At national level, data are available for :
- annual and quarterly national accounts
- annual and quarterly sector accounts
- annual financial accounts and balance sheets
- annual non-financial balance sheets
- supply and use and input-output tables
- annual and quarterly government finance statistics data: 'main aggregates', quarterly financial government accounts and government debt
- regional breakdowns of main national accounts variables and household accounts
- breakdown by industry of main national accounts variables
- breakdown of investment and non-financial assets by industry
- detailed data on taxes, social contributions and government expenditure by function
- pension entitlements in social insurance
In Italy, National Accounts data are organized for dissemination via the I.stat data warehouse in the following sections:
- annual national accounts (including breakdown by industry of main national accounts aggregates, breakdown of investments and non-financial assets by industry and Households final consumption expenditure by purpose)
- quarterly national accounts
- regional accounts (including households accounts by region)
- general government statistics data (including annual data, quarterly data, detailed data on taxes, social contributions and government expenditure by function)
- productivity measures
- environmental accounts (satellite)
- social protection accounts (satellite)
- agriculture, forestry and fishing accounts (satellite)
- health care accounts (satellite)
Financial data for annual and quarterly sector accounts and data on quarterly financial government accounts and government debt are produced and disseminated by the Bank of Italy .
3.2. Classification system
The ESA 2010 provides a methodology on common standards, definitions, internationally harmonised classifications and accounting rules that are used for compiling national accounts on comparable bases.
The ESA 2010 defines classifications to be used for: institutional sectors, transactions in products, transactions in non-financial non-produced assets, distributive transactions, transactions in financial assets and liabilities, other changes in assets, balancing and net worth items, balance sheet entries, non-financial assets, financial assets and liabilities.
In addition, for several breakdowns ESA 2010 makes use of other classifications: NACE Rev. 2 for economic activities, CPA for products by economic activity, COFOG for government expenditures by function, COICOP for individual consumption by purpose, COPNI for non-profit institutions serving households expenditures by purpose, NUTS 2013 for regional breakdowns.
A full overview of classifications is available in:
National accounts describe the total economy of a country. All units that have their centre of predominant economic interest in the economic territory of that country are covered.
In addition, several breakdowns of the total are described. Two of the most important breakdowns are the breakdown by institutional sector and the breakdown by NACE Rev. 2 activity. Exhaustiveness is required for each of the breakdown items.
Concerning the institutional sector breakdown, ESA 2010 distinguishes five mutually exclusive domestic institutional sectors: (a) non-financial corporations; (b) financial corporations; (c) general government; (d) households; (e) non-profit institutions serving households. The five sectors together make up the total domestic economy. Each sector is also divided into subsectors.
Regarding the activity breakdown, ESA 2010 applies NACE Rev.2. Activities can be broken down into several levels of detail, for example into 3, 10, 21, 38, 64 or 88 activities. At the 'highest' level a breakdown into 3 categories is defined: (a) agriculture, forestry and fishing; (b) mining and quarrying, manufacturing, electricity gas steam and air conditioning supply, water supply, sewerage, waste management and remediation activities, construction; (c) services.
In Italy Households sector distinguishes between households as consumer and as producer, data based on this distinction are disseminated at national level. Activities of extraterritorial organizations and bodies are excluded by both the economic activities and the product classifications.
3.4. Statistical concepts and definitions
All statistical concepts and definitions to be used in national accounts are described in Annex A of the ESA 2010 Regulation (link to blue book on ESA2010 methodology). The two main sets of tables concern: (a) the institutional sector accounts; (b) the input-output framework, and the accounts by industry.
The sector accounts provide, by institutional sector, a systematic description of the different stages of the economic process: production, generation of income, distribution of income, redistribution of income, use of income and financial and nonfinancial accumulation. The sector accounts also include balance sheets to describe the stocks of assets, liabilities and net worth at the beginning and the end of the accounting period. The variables/concepts described in the sector accounts include transactions in products, transactions in non-produced non-financial assets, distributive transactions, transactions in financial assets and liabilities, other changes in assets, non-financial and financial assets and liabilities.
The input-output framework, through the supply and use tables, sets out in more detail the production process (cost structure, income generated and employment) and the flows of goods and services (output, imports, exports, final consumption, intermediate consumption and capital formation by product group). These variables are broken down by industry (NACE Rev. 2) and product (CPA 2014).
ESA 2010 also encompasses concepts of population and employment. Such concepts are relevant for the sector accounts, the accounts by industry and the supply and use framework.
Regional accounts provide regional breakdowns for major aggregates such as gross value added by industry, gross fixed capital formation and household income. Regional breakdowns are based on the NUTS classification. National accounts concepts are also used for regional accounts.
In addition Annex A of the ESA 2010 Regulation addresses and defines numerous other concepts and definitions, such as the definition of: statistical units and their groupings, flows and stocks, accounting rules (valuation, time of recording, consolidation and netting). The main features and principles for the compilation of national accounts can be found in Chapter 1.
3.5. Statistical unit
Following the ESA 2010 guidelines, in national accounts two types of units and two corresponding ways of subdividing the economy are used: (a) institutional unit; (b) local kind-of-activity unit (local KAU). The first type is used for describing income, expenditure and financial flows as well as balance sheets. The second type of units is used for the description of production processes, for input-output analysis and for regional analysis.
An institutional unit is an economic entity characterised by decision-making autonomy in the exercise of its principal function. A resident unit is regarded as constituting an institutional unit in the economic territory where it has its centre of predominant economic interest if it has decision-making autonomy and either keeps a complete set of accounts, or is able to compile a complete set of accounts.
A local KAU groups all the parts of an institutional unit in its capacity as producer which are located in a single site or in closely located sites, and which contribute to the performance of an activity at the class level (four digits) of the NACE Rev. 2.
An institutional unit comprises one or more local KAUs; a local KAU belongs to one and only one institutional unit.
3.6. Statistical population
The national accounts population of a country consists of all resident statistical units (institutional units or local KAUs, see section 3.5). A unit is a resident unit of a country when it has a centre of predominant economic interest on the economic territory of that country, that is, when it engages for an extended period (one year or more) in economic activities on this territory.
National accounts are exhaustive. This means that all resident statistical units are covered.
3.7. Reference area
The reference area for national accounts is the total economy of a country. The total economy of a country can be broken down into regions. The NUTS classification provides a single, uniform breakdown of the economic territory of the Member States of the EU.
3.8. Coverage - Time
National accounts data are usually compiled on annual and quarterly basis.
In general, the ESA 2010 transmission programme requires data starting in 1995 (years) and 1995Q1 (quarters) but some series start later. If backwards data exist, they may have been compiled according to earlier versions of ESA and can present conceptual breaks with those compiled under ESA2010.
3.9. Base period
The concept of 'base period' is not applied in national accounts. Instead, for some national accounts variables the concepts of previous year prices and chain-linked volumes are applied, as stipulated in Commission Decision 98/715/EC. Expressing variables at the prices of the previous year allows the calculation of volume indices between the current time period and the previous year. After a reference period is chosen, volume indices can be chain-linked and then applied to variables at current prices of the reference year.
Italy currently uses 2015 as the reference year for the compilation of chain-linked volumes. The method to compile quarterly chain-linked volumes is the annual overlap method.
With the exception of some variables concerning population and labour that are usually expressed in number of persons, hours or jobs, the ESA 2010 system shows all flows and stocks in monetary terms: in euros or other national currency. Flows and stocks shall be measured according to their exchange value, i.e. the value at which flows and stocks are in fact, or could be, exchanged for cash. Market prices are, thus, the ESA's reference for valuation.
In addition to measurement in current (market) prices, some national accounts variables are also expressed in previous year's prices and chain-linked volumes, see section 3.9. Furthermore, it is possible to derive growth rates and indices, and other measures '(e.g. percentages, per capita data, data expressed in purchasing power standards)' can be applied as well.
In Italy employment data are released also in Full Time Equivalent units.
The reference period to be used for presenting national accounts data is the calendar year for annual data and the quarter for quarterly data.
Two basic kinds of information are recorded: flows and stocks. Flows refer to actions and effects of events that take place within a given period of time (year or quarter), while stocks refer to positions at a point of time (usually the end of a year or quarter).
6.1. Institutional Mandate - legal acts and other agreements
National accounts are compiled in accordance with the European System of Accounts (ESA 2010) which was published in the Official Journal as Annex A of Regulation (EU) No 549/2013. The ESA 2010 transmission programme is covered in Annex B
The ESA 2010 has the form of a Regulation and it provides for:
a methodology (Annex A) on common standards, definitions, classifications and accounting rules that shall be used for compiling accounts and tables on comparable bases (link to blue book on ESA 2010 methodology);
a programme of data transmission (Annex B) setting out the time limits by which Member States shall transmit to Eurostat the accounts and tables (link to ESA 2010 transmission programme).
Temporary derogations to the data transmission requirements have been granted to Member States, up to 2020, by the Commission Implementing Decision 2014/403/EU of 26 June 2014 thus allowing national data to deviate temporarily from the ESA 2010 transmission requirements.
Some other legal acts with relevance for national accounts concern:
- Commission Decision 98/715 of 30 November 1998 and Commission Decision 2002/990 of 17 December 2002 on measurement of price and volumes in national accounts.
- Legal act on the excessive deficit procedure
Several separate acts, often regarding classifications such as: NACE Rev.2, CPA 2014, COFOG, COICOP, NUTS 2013.
On the Eurostat website, sections 'National accounts' and 'Government finance and EDP', additional legal acts relevant for national accounts can be found.
All statistics produced and published by the National Statistical Institute of Italy (Istat) are subjected to:
The Legislative Decree no. 322, of 6 September 1989 (and subsequent modifications and additions Decree of the President of the Republic (DPR) no. 166 of 7 September 2010), which is consistent with the U.N. Fundamental Principles of Official Statistics and places Istat at the center of the National Statistical System (SISTAN). SISTAN is a network of public bodies and private agencies that provides official statistical information and covers the statistical offices of all levels of government, Chambers of commerce, industry, crafts industries, agriculture and other public bodies as well as private subjects having public functions.
The Decree of the President of the Council of Ministers (DPCM) which every year approves the National Statistical Programme
Moreover, the Committee for Directing and Coordinating Statistical Information (COMSTAT), chaired by Istat president, defines and issues binding directives for executing the National Statistical Programme. Istat has a legal obligation to publish and disseminate data (Article 15, in particular paragraph 1[g] of the Legislative Decree no. 322, 6 September 1989).
All the estimation processes that contribute to the building of national economic accounts are included in the National Statistical Plan (current edition: PSN 2017-2019, Update 2018-2019) approved by Presidential Decree of 20 May 2019.
6.2. Institutional Mandate - data sharing
National accounts data are key datasets used and published by many international organisations to improve data consistency and exploit synergies for data collection and validation. An initiative to improve data sharing for National Accounts was launched in 2016 by the Inter-Agency Group on Economic and Financial Statistics (comprising representatives of the Bank for International Settlements, the European Central Bank, Eurostat, the IMF, the Organization for Economic Co-operation and Development, the United Nations, and the World Bank) under the G20 Data Gap Initiative.
TheLegislative Decree no. 322 of 6 September 1989contains provisions on data sharing and coordination within SISTAN: according to the article no. 6 Statistical Offices, under the coordination of Istat, shall cooperate with other authorities for the execution of the surveys provided for in the National Statistical Programme.
Directives issued by COMSTAT have further strengthened these provisions. In addition, Istat has developed statistical information systems utilized throughout SISTAN for sharing data. Istat also cooperates closely with agencies that do not belong to SISTAN through specific data sharing protocols and agreements. According to the Regulation (EC) No 223/2009.and to the DPR no. 166 of 7 September 2010, Istat is part of the European Statistical System and coordinates and shares data with the Commission (Eurostat) and the others national statistical institutes and other national authorities responsible in each Member State for the development, production and dissemination of European Statistics.
7.1. Confidentiality - policy
Regulation (EC) No 223/2009 on European statistics (recital 24 and Article 20(4)) of 11 March 2009 (OJ L 87, p. 164), stipulates the need to establish common principles and guidelines ensuring the confidentiality of data used for the production of European statistics and the access to those confidential data with due account for technical developments and the requirements of users in a democratic society. The European Statistics Code of Practice provides further conditions that have to be respected by statistical offices in regard to statistical confidentiality (Principle 5).
In Italy, according to art. 9, paragraph 1 of the Legislative Decree n. 322 of 1989, statistical data can be disseminated only in aggregated form, in order to make it impossible to make any reference to identifiable individuals. They can only be used for statistical purposes.
Data may not be communicated or disseminated neither to any external subject, public or private, nor to any department of the public administration other than in aggregate form and using modalities which prevent the identification of the units involved.
Istat assures the protection of personal data according to the General Data Protection Regulation (Regulation (EU) 2016/679 of the European Parliament and of the Council of 27 April 2016 on the protection of natural persons with regard to the processing of personal data and on the free movement of such data, and repealing Directive 95/46/EC) and Italian Data Protection Code (Legislative Decree no. 196/2003) and Code of Conduct and professional practice applying to the processing of personal data for statistical and scientific research purposes within the framework of the national statistical system.
Moreover, Legislative Decree n. 322 of 1989, art. 6 and 6 bis provides that the exchange of personal data within the National Statistical System (Sistan - see section 6.1) is possible if it is necessary to fulfil requirements provided by the National Statistical Programme or to allow the pursuit of institutional purposes. In order to make statistical secrecy and protection of personal data effective, Istat is currently taking appropriate organisational, logistical, methodological and statistical measures in accordance with internationally established standards. In accordance with the Personal Data Protection Code, respondents are informed of their rights and obligations with regard to the provision of information, and they are assured that the information they provide will be used for statistical purposes only.
Finally, in implementation of art. 5-ter of the legislative decree 14 March 2013, no. 33, the new “Guidelines for the access for scientific purposes to the elementary data of the National Statistical System” establish the conditions under which the bodies and offices of the National Statistical System can allow researchers to access their own elementary data for scientific purposes.
Institutional relations between Istat and the Bank of Italy are managed by a Coordination Committee, established within the framework of a Memorandum of Understanding which regulates cooperation between the two Institutions in the field of research and exchange of statistical information. The Committee has defined a procedure for the bilateral exchange of micro-data in the cases provided for by Regulation (Ec) No 223/2009 of the European Parliament and of the Council, art. 21 and of Council Regulation (EC) No 2533/98, art. 8a. Arrangements for the exchange of data between Istat and the Bank of Italy for research purposes are being developed.
7.2. Confidentiality - data treatment
In a statistical sense, ‘confidential data’ means data which allow statistical units to be identified, either directly or indirectly, thereby disclosing individual information. To determine whether a statistical unit is identifiable, account shall be taken of all relevant means that might reasonably be used by a third party to identify the statistical unit. Although national accounts data are usually aggregated, there may be possible cases for detailed breakdowns of aggregates and/or small economies. In these cases measures should be taken in order not to disclose data of a separate statistical unit. Guidance on how to prevent disclosure can be found in the Handbook on Statistical Disclosure Control.
Istat has adopted a general security policy to ensure confidentiality, integrity and availability (in tracked procedures) of all data processed within the Institute.
8.1. Release calendar
Good practice requires that new national accounts data and associated news releases are announced in a release calendar that is published well in advance of the respective releases.
In December of each year ISTAT publishes a press release calendar setting the release dates for the coming year. The calendar is distributed to the press and to the general public via the web site.
8.2. Release calendar access
Release calendars should be easily available and accessible for users, e.g. by publication on the website of an NSI.
In line with the Community legal framework and the European Statistics Code of Practice (Principle 6 on impartiality and objectivity, Principle 13 on timeliness and punctuality and Principle 15 on accessibility and clarity), national accounts data that meet the quality standards, including relevant metadata, should be made available to users. Users should be informed when the data become available and how they can be accessed.
According to its mission, Istat disseminates statistical information in order to make it accessible and usable to everyone and to remove any barriers to the use of data. All data releases are posted on Istat website according to an annual release calendar (see Section 8.1). Time series are available on I.Stat database and, through thematic information systems, users can choose information according to their needs, building customised tables or downloading prepackaged datasets. Data are always accompanied by meta-information concerning methodologies, classifications, definitions. Microdata files are released in compliance with the principle of statistical confidentiality and protection of personal data. Ebook, apps and infographics are also available on the web site; moreover main contents are disseminated through Istat Official Twitter account and other social networks. All Istat information are available free of charge and data are reusable referencing the source.
New quarterly national accounts data are published each quarter: 4 times per year. However, depending on circumstances and national practices, initially released quarterly national accounts data may be revised and disseminated again. Annual national accounts data are published at least once a year: when data for a new year are added. But, depending on country practices and revision policy, annual data can also be published more often, e.g. publication of a provisional estimate early in the calendar year and a revised one later in the calendar year.
Frequency for Italian National Accounts dissemination (see also Section 10.1 and 10.3) is the following:
2 times per year: Annual National Accounts, Non-Financial Sectoral Accounts, Balance sheet for Non-Financial Assets, General Government Accounts, Taxes and Social Contributions, Employment;
2 times each quarter (Q+30 days (Preliminary) andQ+ 60 days): Quarterly National Accounts;
one time each quarter: Quarterly Non-Financial Sectoral Accounts, General Government Quarterly Non-Financial Accounts;
once a year: Regional Accounts, Disposable Income of Households in Italian Regions, Annual General Government Expenditure by Function, SUIOT.
10.1. Dissemination format - News release
The most important results of national accounts are issued in news releases. New key national accounts data may also be presented in press conferences or press briefings. The exact dates are pre-announced in release calendars (see section 8.1 above).
Among the scheduled ones (included in the annual release calendar):
For Annual National Accounts and General Government data, two press releases each year are made available: PIL e indebitamento AP (1st March - GDP and General Government Net Borrowing) and Conti economici nazionali (22 September - Annual National Accounts);
Quarterly National Accounts data are disseminated via two news releases each quarter: Stima preliminare del PIL (Q+30 days - Preliminary GDP estimate) and Conti economici trimestrali (Q+ 60 days - Quarterly National Accounts);
Quarterly Non-Financial Sectoral Accounts are disseminated via one news releases each quarter : Conto trimestrale delle amministrazioni pubbliche, reddito e risparmio delle famiglie e profitti delle società (Q+90 - Quarterly Non-Financial Accounts For General Government, Households Income And Savings And Non-Financial Corporation Profit);
Annual accounts by institutional sector are dissemineted once per year in the press release Conti economici per settore istituzionale (Mid-April - Annual accounts by institutional sector)
A press release about Non observed economy is released each year Economia non osservata nei Conti nazionali (Mid-October - Non observed Economy in National Accounts)
Among not scheduled (but regular) releases:
Regional accounts are disseminated twice a year: Stima preliminare del PIL e dell'occupazione a livello territoriale (June - Italian version only) and Conti economici territoriali (December - Regional Accounts)
Balance sheet for non financial assets are reported in a press release: La ricchezza non finanziaria in Italia (January - Non-financial Wealth in Italy)
10.2. Dissemination format - Publications
In addition to news releases, national accounts data may be disseminated in other publications, such as statistical papers, yearbooks, internal and external articles. Usually this concerns publications in which more in-depth analysis is carried out.
All Istat' general publications (https://www.istat.it/en/analysis-and-products/publications), presenting analyses and data on the state of the country observed from multiple points of view, report and comment National Accounts data: Rapporto Annuale (May - Annual Report), Noi Italia (January - Noi Italia), Annuario Statistico italiano (November - only in Italian), Italia in Cifre (February - Italy in figures).
10.3. Dissemination format - online database
In order to enable easy access to national accounts data, all validated national accounts data should be made available to users by publishing them in an online database.
The complete set of series is issued, at the same time of the press release, through the Istat data warehouse I.Stat in the section National Accounts.
Supply, Use, Input-Output Tables and NAM (National Accounts Matrix) are disseminated as excel files.
10.4. Dissemination format - microdata access
Not applicable.
10.5. Dissemination format - other
In addition to news releases and other publications (see sections 10.1 and 10.2), information on national accounts may be posted using social media.
The general methodological framework for the compilation of national accounts in the EU is ESA 2010.
In addition, several handbooks have been developed to help compilers to produce national accounts data. Some of the most important methodological manuals are the Handbook on quarterly national accounts, Manual on regional accounts methods, Eurostat Manual of Supply, Use and Input-Output Tables, Manual on Government Deficit and Debt. Also, guidance manuals on specific topics are available, e.g. compilation guide on land estimation, compilation guide on inventories, Manual on measuring Research and Development in ESA 2010.
The manuals above specifically apply to EU national accounts statistics. However, world-wide equivalents are often also available: SNA 2008, Quarterly National Accounts Manual, Handbook on Input-Output Table Compilation and Analysis, Government Finance Statistics Manual.
In September 2019, 5 years after the previous one, Istat revised all National Accounts series. This corresponds to what, in technical language, is defined as a regular major revision (so called benchmark revision). In the specific case Istat has decided to carry out this operation by identifying 2016 as the reference year, since for that year all the necessary structural information became available during the definition phase. Technical characteristics of the benchmark have been described to users in advance (July 2019) https://www.istat.it/it/archivio/232520.
Transition of Annual National Account from ESA 95 to ESA 2010 has been presented in a dedicated page updated in 2014/2015 (Italian version: http://www.istat.it/it/archivio/110424 ; English version: http://www.istat.it/en/archive/110843) where methodological changes have been described. A presentation seminar of innovations introduced with ESA 2010 in all the domains of national accounts has been held in December 2014 (https://www.slideshare.net/slideistat/tag/sec-2010 ) Regional accounts methodological innovations in ESA 2010 have been presented in a seminar held in November 2016; materials in Italian are available at the page https://www.slideshare.net/slideistat/tag/sec2010 . Quarterly economic and sectoral accounts methodological innovations have been presented in a seminar held in April 2016; materials in Italian are available at the page https://www.slideshare.net/slideistat/tag/seminario-21aprile2016 . In September 2016 a seminar has been dedicated to recent innovations in measuring the non- observed economy; materials in Italian are available at the page https://www.slideshare.net/slideistat/tag/seminario-13-settembre-2016 . For financial accounts, a manual describing the main issues related to the compilation is available at the following link http://www.bancaditalia.it/statistiche/2016-conti-finanziari.pdf . At the moment only an Italian version is available, an English manual is in progress.
10.7. Quality management - documentation
The importance of national accounts requires that documentation should be available on the procedures applied for quality management and quality assessment. Examples of such documentation are national accounts quality reports, quality studies and reports on revision analysis.
As for all Istat statistical processes, National Accounts statistical processes quality documentation is available through the SIDI/SIQual system http://siqual.istat.it/SIQual/lang.do?language=UK.
National quality reports for Italy have been compiled and submitted to Eurostat for Years 2016, 2017 and 2018. The 2019 one is being validated.
11.1. Quality assurance
Quality of national accounts data is assured by strict application of ESA 2010 concepts and by applying the guidelines of the ESS handbook for quality reports.
During the overall compilation process, national and regional accounts data undergo several kinds of quality checks, e.g. ex-ante (source statistics), ongoing (results), ex-post (methods used) and external checks (Eurostat, European or national Court of Auditors, IMF).
In National accounts directorate, the Division "Treatment and verification of the quality of public finance data" provides analysis for the verification of the perimeter of General Government (S.13) and manages its ongoing updating. It defines and develops the procedures of processing and verification of the quality of basic data for the compilation of government finance statistics. It manages the activities for developing quality management procedures and robust accounting methods in the administrations that provide the sources of public finance.
11.2. Quality management - assessment
Eurostat provides methodological validation of GNI data and EDP data. If the data are not methodologically correct Eurostat puts action points and gives reservations on data.
The internal quality control system is defined in accordance with the guidelines and indicators established at European level to ensure the quality of statistics, while applying the criteria set by the European Code of Practice. Istat established a centralized system for collecting information aimed at quality monitoring, called “Information system for documentation of surveys and quality control (SIDI-SIQUAL)”. SIDI-SIQUAL is a system designed in order to monitor the production process, considering all the dimensions of quality over time and across surveys. In this respect, the system simultaneously manages the metadata and the standard of quality indicators in an integrated way for all Istat surveys and some national accounts estimates. The information reported in the system represent a tool for the governance of statistical production but also a dissemination tool, providing information on the quality of statistics for internal and external users.
12.1. Relevance - User Needs
National accounts data provide key information for economic policy monitoring and decision making, for forecasting, for administrative purposes, for informing the general public about economic developments (directly or indirectly via news agencies), and as input for economic research.
At national level, ministries of finance and regional development, scientific and academic communities and economic researchers are usually the entities who most use national and regional accounts data.
Also international Organizations (IMF, OECD, ILO, WB, BCE) use national accounts data.
12.2. Relevance - User Satisfaction
ISTAT is constantly interested in understanding who the users of the statistics it produces are, what the information needs are, whether they match production and if the statistics produced satisfy users. To this aim, together with the analysis of user requests received through the Web Contact Center service, tools for direct consultation were developed, such as the annual online survey of customer satisfaction and indirect tools such as analysis of accesses and of users’ browsing paths on the web site . To complete the Istat strategy in addressing users, the Statistical Information Users Committee (Cuis) was set up in 2011, with the aim of assisting the Institute in the recognition of the demand for statistical information expressed by institutions, public and private sectors professional users and the society as a whole. The Commission currently includes about 50 members, representing associations, bodies and institutions that use official statistical information. It is responsible for evaluating the compliance of official data with users' needs and for reporting any information gaps, proposing solutions to fill them.
In the SISTAN System is established a quality group about "National Accounts and Prices". Representatives of Sistan and non-Sistan entities participate in the meetings. The group is in charge to analyze the demand and supply of statistical information for the National Statistical Programme.
Statistics on access by subject to the Institute data warehouse are made available to producers. Meeting, task forces, expert and working groups represent occasions to collect the needs of Institutional users.
12.3. Completeness
In most countries national accounts cover the domains national accounts main aggregates, government accounts, sector accounts regional accounts and supply and use tables. However, the content of the data on these domains as well as the (details of the) various breakdowns (by region, sector, industry, product, etc.) may deviate per country, depending on national needs and available sources.
The ESA 2010 transmission programme, consisting of 22 tables across all national accounts domains (see section10.3) defines the minimum national accounts data set that must be available in all Member States of the EU.
In 2019, overall completeness rate of the Italian National Accounts data, as required by ESA 2010 Transmission Programme, was at the high level. Data gaps are noted for chain linked volumes 1995Q1-1995Q4 (T101Q, T102Q, T117Q), and A*64 breakdown for T301 (2017) for National Accounts Main Aggregates, as well as for 2017 data in hours worked in Regional Accounts (T1002A). The completeness rate of Table 29 (transmitted in 2018 as required by ESA TP) was calculated to be 76.9%; this results from some pension regimes not being taken into account or included in other columns of the Table, and these regimes are marginal, covering less than 1% of the total workforce.
13.1. Accuracy - overall
Direct assessment of accuracy (estimation of variance and bias components of MSE of estimates) is not applicable for NA data. Revision analysis can provide an assessment of data reliability.
For Quarterly National Accounts and Quarterly Sectoral Accounts a section dedicated to the revisions is available at http://www.istat.it/en/economic-trends. For key indicators, this section contains, besides the dissemination of information about revisions, the classification of revisions.
For Annual National a section of the press release is dedicated to the explanation and analysis of revisions of main aggregates with respect to the previous release.
13.2. Sampling error
Not applicable.
13.3. Non-sampling error
Not applicable.
14.1. Timeliness
National accounts data should become available to users as timely as possible, taking into account the frequency of the data (annual or quarterly), the character of the data (info on the structure of an economy or on conjuncture developments) and an adequate balance between accuracy and timeliness.
The ESA 2010 transmission programme defines the required timeliness for all national accounts tables. Quarterly tables should become available between 2 and 3 months after the quarter-end. The annual tables have to be transmitted between 2 months (main aggregates) and 36 months (supply and use tables) after the end of the reference year.
14.2. Punctuality
Good practice requires that the dates on which national accounts data become available are pre-announced and that the pre-announced publication dates are met.
National accounts data transmissions in the framework of the ESA 2010 transmission programme should be punctually delivered to Eurostat at the timeliness defined in the transmission programme (or before).
In 2019 Italy successfully transmitted most of the required data in a timely manner.
In 2019 all the releases of National Accounts data have been disseminated according to the timetable scheduled in advance.
15.1. Comparability - geographical
The geographical comparability of national accounts in Member States of the EU is ensured by the application of common definitions of the European System of Accounts ESA 2010). Worldwide geographical comparison is also possible as most non-European countries apply the SNA 2008 guidelines, and SNA 2008 is consistent with ESA 2010.
15.2. Comparability - over time
As the data for all reference periods are compiled according to the requirements of the ESA 2010, national accounts data are fully comparable over time. Also, in the case of fundamental changes to methods or classifications, revisions of long time series are performed, usually going far back into the past.
15.3. Coherence - cross domain
Within the system of national accounts there is full consistency between the domains: annual and quarterly national accounts, government accounts, sector accounts, financial accounts, regional accounts, supply and use tables. However, in practice full consistency may not always be possible and temporary discrepancies might occur. They are usually the result of vintage differences.
Primary statistics like structural business statistics (SBS), short term statistics (STS) and labour force statistics (LFS) are widely used as input for national accounts. However, there is no full consistency between these statistical domains and national accounts. Main reasons are differences in concepts/definitions and in coverage. Balance of payments is also used as an important source for national accounts. The definitions and coverage of balance of payments, as defined in the BPM6 manual, are fully harmonised with those in ESA 2010. Therefore, balance of payments variables are in principle fully coherent with the corresponding national accounts variables.
In 2019, the coherence between the assessed annual and quarterly statistics submitted by Italy, according to the ESA2010 TP, was at the highest level. Vertical discrepancies between financial and non-financial accounts exists but are relatively low across all sectors.
15.4. Coherence - internal
The internal coherence of the assessed Italian data is high. Italian data are also largely coherent in terms of additivity.
Not available.
17.1. Data revision - policy
National accounts data are subject to continuous revisions as new input data become available. They are called routine revisions and entail regular revisions of country data and of the European aggregates, which are derived from the former.
More rarely, exceptional revisions (called benchmark revisions) will result from major changes in data sources, classifications or methodology. For example, when changing from ESA95 to ESA 2010, a benchmark revision occurred at country level and at euro area/EU data level.
Two Task Forces developed proposals for a more harmonised approach for benchmark and routine revisions. The one under the auspices of the Directors of Macroeconomic Statistics (DMES) dealt with benchmark revision policy, the other under the auspices of the Committee on Monetary, Financial, and Balance of Payments Statistics (CMFB) on the European Harmonised Revision Policy dealing with routine revisions.
In Italy, all press releases have a part (in Italian) dedicated to methodology in which the revision policy is described (http://www.istat.it/it/conti-nazionali ). As described in section 13.1, a section of the press release is dedicated to the explanation and analysis of revisions of aggregates with respect to the previous release.
Regarding revision policy implementation, Italy is adherent to the amended harmonised European revision policy agreed by the CMFB in June 2017, with the exception of financial accounts (see below).
National accounts data are released twice a year, at the end of February and at the end of September. The September release takes into account statistical sources that become available after February. If no significant adjustment to year t-4 is deemed necessary, in the February release of year t a final estimate is published for year t-3, while a provisional estimate for year t-2 and a first estimate for year t-1 are compiled, both through a simplified approach based on quarterly estimates (QNA). Then, in the following September release data are revised for year t-2, drawing upon statistical sources that have become available and again for year t-1. The main sources of information are assessed every year. In particular, in September the estimates for year t-2 include final data from the system of structural business statistics Frame-SBS and draw upon the maximum detail of statistical sources. It also includes in the accounts a sound measure of underreporting of value added, based on detailed firm-level data and on individual information concerning undeclared employment.
In general, the September (of year t) release reffering to year t-2 data corresponds to the transition from the QNA-based simplified approach to the one based on very detailed statistical sources can cause a substantial impact on the estimates (GDP included).
As regards General Government accounts, the revision approach for data issued in September is the following: the estimate for year t-3 is almost definitive, the one for year t-2 is semi-definitive since part of final sources are missing, and the one for year t-1 is provisional since it relies mainly on cash-based sources. With respect to the February release, this transmission benefits of a revised data source (the final State annual budget) that provides accrual information for the main sub-sector of Italian GG for year t-1.
The Bank of Italy (BoI) currently does not implement the CMFB revision policy in its compilation of the annual financial accounts. The principal data sources for the production of annual financial accounts are (1) BoP statistics, (2) Quarterly Financial Accounts for General Government - QFAGG, (3) Banking statistics and (4) administrative sources such as tax records and corporate balance sheet data from the Business Register. Revisions to Government data occur more frequently but any and all revisions are incorporated annually during the compilation phase of production. The nature and occurrence of routine revisions, along with any exceptional revisions (for example, as a result of methodological changes), are communicated to users normally with the publication of the data itself. Revisions are generally incorporated into the quarterly financial accounts as and when they occur or become available. For Financial accounts the most important revisions relating to the previous two years occur at the first compilation round after the BoI’s Annual Report; this round corresponds to the release of the first quarter (completed in June). Explanations relating to significant revisions are usually communicated to users at the time of publication.
17.2. Data revision - practice
While revisions should be seen as a process to progressively improve the quality of national accounts as e.g. better sources and/or methods become available, the availability of metadata on revisions is a key element for understanding national accounts data and revisions between subsequent releases.
Therefore, information on the main reasons for revisions and their nature (new source data available, new methods, etc.) as well as possibly quantitative and qualitative assessment on the average size of revisions and their direction based on historical data is required.
In September 2019 a major general revision of national accounts (benchmark 2019) was conducted. The previous benchmark revision of national accounts, implementing the transition to the new ESA (from ESA95 to ESA 2010) with the ensuing methodological changes, took place in September 2014. The results of the estimates of the 2019 benchmark revision of national accounts – with time series back to 1995 - have been disseminated on the 23rd of September. The revision took on board new available sources and introduced methodological innovations and improvements aimed at enhancing the quality of national accounts. As regards timing, the revision was coordinated with similar operations taking place in most European countries.
The operation was carried out for the reference year 2016, for which all the relevant structural information was available. The revision of GDP and the whole set of National Accounts data published on September 2019 included also the routine revision for the two most recent years (2017 and 2018). Time series consistent with benchmark estimates were compiled back to 1995.
The level of nominal GDP was revised upward by about 5,8 billion euros (0,3%) for the reference year 2016. With respect to April 2019 release, the rate of change of GDP in volume terms remained unchanged for 2018 and was slightly revised upward for 2017 (from +2.2% to +2.4%).
Note that all releases of National Accounts are archived and made available to users in the I.stat database (through the use of the edition field) and it is therefore possible to compare different releases and check revisions at any time.
18.1. Source data
National and regional accounts compilation builds up on statistics that are primarily collected for other purposes (primary statistics).
In order to compile the estimates of aggregates included in the system of national accounts, data derived from a large set of sources are used.
Sources of Istat own production include both business surveys and household surveys, and statistical registers built integrating survey and administrative data. These are supplemented by specific administrative archives (such as some INPS archives), as well as information drawn from external sources, both public and private. Data drawn from surveys or other sources are in part already defined in a consistent way with the definitions of national accounts, while those that follow different definitions must be corrected and appropriately reclassified to comply with the recording rules established by ESA.
Here follows a synthetic list of main sources used to compile the final version of annual national accounts, usually accomplished more than two years after the end of the reference year (in March of year t for data referring to year t-3).
As regards estimates of the supply side, the most relevant sources are those providing census-type information on enterprises: the statistical register of active enterprises (ASIA-Enterprises) and the information system on economic results of enterprises (Frame-SBS in the following). This micro database includes information on economic results for the whole population of active market enterprises (excluding agriculture and financial intermediation). It is built through a complex integration procedure of data from administrative archives, treated statistically and combined with data drawn from the survey on small and medium enterprises (PMI) and from the survey on the financial statements of large enterprises (SCI). Information on the financial statements of companies operating in financial intermediation are provided by the supervisory authorities, that is the Bank of Italy, the insurance supervisory authority (Istituto per la vigilanza sulle assicurazioni - IVASS) and the supervisory commission on pension funds (Commissione di vigilanza sui fondi pensione - COVIP). Estimates for the primary sector (Agriculture, Forestry and Fishing) are based on several sectoral sources, complementing the information derived from the survey on economic outcomes of agricultural holdings (RICA-REA) and the survey on the structure and output of agricultural holdings (SPA). For the non-profit sector a dedicated data base has been built starting from the statistical register of private nonprofit institutions and public institutions, integrated with information drawn from the sample survey on the non-profit sector and from a set of administrative archives (UNIEMENS INPS, IRAP, UNICO, VAT).
Concerning the General Government a very analytical approach is utilised, based on the collection and treatment of financial statement data of the whole set of institutional units included in this sector, both at the central and at the local level. For some government units (e.g. the State, municipalities, regions, local health care units, universities, social security institutions) data are collected through a centralized system, while for other units a specific statistical survey of financial statements in summary form is used (RIDDCUE survey). For the estimation of taxes, source data are integrated with those provided by the Tax and revenue agency (Agenzia delle entrate) and by the Finance Department of the Ministry of Economy and Finance (MEF). For the most recent year (t-1), information provided by the public sector working balance compiled by the Ministry of Economy and Finance is used, together with cash flow data collected by the Information System on the Operations of Government Bodies (SIOPE), extensively exploited for local entities.
As regards the demand side, estimates of private consumption are based primarily on data provided by the household expenditure survey. For part of the goods purchased by households, as well as for some capital goods, the commodity-flow method is utilized, calculating the value of final uses available for consumption and for capital formation in an indirect way, starting from the resources (defined as the sum of production and imports, less exports). For gross fixed capital formation, estimates obtained with the commodity-flow method are complemented by information on firm activities derived from Frame-SBS and specific sources, such as registers of vehicles and of shipping, the Building Permits Survey, data on military expenditure from the Ministry of Defence, and the results of R&D surveys. As regards foreign trade (imports and exports of goods and services), the data derive from the survey on traded goods (Intrastat and Extrastat components) conducted by Istat and from information on the trade of services extracted from the Balance of Payments compiled by the Bank of Italy. As regards labour input estimates, information collected by the Labour force survey is integrated with a broad database of administrative data (particularly social contribution statements) submitted to a statistical treatment. Information from statistical registers compiled in Istat are also used: the statistical register of active enterprises (ASIA-Enterprises), the statistical register of agricolture enterprises (ASIA-Agricolture), the statistical register of private non-profit institutions and public institutions, base population register and thematic register on labour.
Estimates for year t-2 are broadly based on provisional data, also of a structural kind, and on short-term indicators. Estimates for year t-1 are directly calculated starting from quarterly estimates based on indicators derived from Istat sources and, to a lesser extent, from other sources, administrative and other.
Dor quarterly estimates, within the adopted system, each annual aggregate to be disaggregated into quarters is associated to one or more quarterly or monthly indicators able to describe the short-term pattern of the same variable. The section "Main indicators used in the estimate (sources)" in the methodologival note annexes to the national quarterly press release presents a list of the indicators used by main variable categories.
18.2. Frequency of data collection
National accounts are usually compiled on an annual or quarterly basis from other primary statistics. The frequency of data collection of primary statistics varies according to the nature of the data source. For example, business statistics are typically available on a monthly (and quarterly) basis. Some households' surveys are available on quarterly or annual frequency (sometimes even less frequent). Availability of administrative data varies from country to country. Population censuses are mostly collected every decade.
The frequency and timing of the compilation of national accounts are not necessary aligned with the frequency and timing of (all) primary statistics data collections.
National accounts departments typically do not collect data themselves but receive them from other departments or institutions. Countries can provide a more detailed description of the channels by which external data are collected.
The ESS guidelines suggest that the methods used for data collection should be described. It can also be appropriate to complete the section with the following issues: (i) an NSI usually signs an agreement and technical protocol for cooperation with other institutions on what, when, how, etc. the data would be delivered; (ii) national accounts department also participates in the development of the questionnaires of statistical surveys of other departments.
The data used for the compilation of national accounts come from other Directorates of the Institute and other organizations or Institutions. The main interchange of data flows with external bodies and Institutions is regulated by negotiating Acts (framework agreements, conventions, research protocols and agreements) established with Istat or directly with the National Accounts Directorate. The Acts typically set up annexes or protocols defining activities to be performed, regulating data provision obligations and data quality standards; data transmission procedures and timing are defined.
Concerning the information and data flows internal to Istat, Service Level Agreements (SLA) regulate relations between the statistical production structures and directions that provide services (data capturing, methodological assistance, IT services, dissemination and communication).
Data from administrative sources are collected and managed by the Central Directorate for the data collection. The data transmission, access to archives, the preservation of data and protection of privacy follow principles and rules defined in the “Document on the safety of data” updated and published annually by Istat . In addition, all information relating to sources, types of collected data, the processing and use of personal data for statistical treatments, are spelled out in the National Statistical Programme, which is the legislative measure that, according to the article 13 of Legislative Decree n. 322 of 1989 and subsequent amendments, establishes the statistical surveys of public interest entrusted to the National Statistical System.
Currently, the data flows requested by the Directorate of National Accounts to other Directorates are governed by a standardized procedure that defines technical details and timing of data delivery and identify persons authorized to statistical treatment. In particular, as regards administrative data, the programming of the provision of files and archives from the Institutions gathering them for administrative purposes is defined through Istat “Three-year Plan of Administrative Data”. Medium term planning is then implemented setting a yearly programme that defines the specific details and calendar of data delivery.
18.4. Data validation
Data validation refers to any activity aimed at verifying that the value of a data item comes from a given set of acceptable values. It is a key task performed in all statistical domains and particularly important for national accounts, which is a key dataset for economic analysis and policy decisions.
In order to increase overall data quality and workflow efficiency, the European Statistical System (ESS) is moving towards more harmonisation of validation activities including the definition of common standards, tools and support for implementation (see ESS validation website). National accounts are a pilot in this area. An ESA 2010 Task Force on validation was established in 2015 to agree and document validation rules in an ESA 2010 validation handbook and progressively implement them in a pre-validation service for national accounts data.
In Italy, an important procedural device employed in the validation process is the system of storage and reporting of in progress results of the estimation round. Using a presentation system designed on purpose, that allows both cross tabulations and time series graphical inspection, the whole set of variables entering the supply and demand side of the accounts can be examined and cross checked with other aggregates of national accounts not included in the SUT framework. The system automatically presents comparisons of a rich set of variables, including labour input measures (employment and worked hours), compensation of employees, labour productivity measures, value added to output ratios, etc. In this way the internal coherence of the whole set of estimates is easily examined, in particular from the point of view of the evolution over time of characteristic parameters of the economic system.
For the validation of national accounts data disseminated, Italy applies minimum validation rules, some are internal to NA dissemination data warehouse and others agreed with Eurostat. Data transmitted to Eurostat are submitted to the validation system (CONVAL), this applies rules contained in the ESA 2010 validation handbook. Italy have partecipated to the TF on validation.
18.5. Data compilation
Data sources, methods and compilation techniques are country specific, but should be employed in such a way that the definitions and concepts in ESA 2010 are met. Many guidance documents on general and specific national accounts compilation issues are available. See for more details section 10.6.
In Italy, the estimates of GDP are compiled building on a system of statistical sources and administrative data adapted to match ESA definitions. In the current system the national accounts are estimated within an integrated SUT system whose discrepancies are analysed and corrected, until they are reduced to mere statistical discrepancies to process through mathematical balancing. The balancing system applies to the estimates produced by the supply and the demand side. In turn, the income approach cannot be estimated independently and the allocation of income is obtained in a second step when the national accounts by institutional sector are produced. As the estimation of the gross operating surplus/mixed income is derived as a difference between the final estimates of value added and the other distributed primary incomes, the resulting income shares are a very important indicator of the reliability and economic plausibility of value added estimates. As a rule, the estimation processes are performed at the highest possible level of disaggregation to ensure both a high degree of reliability of the estimates and an adequate detail to represent the sectors evolution. The methods applied in the compilation process provides comprehensive estimates of GDP, including the non-observed components of the economy.
National accounts datasets are generally consistent. Some inconsistencies exist between non-financial and financial accounts, to solve it a National WG Istat-Bank of Italy is working.
18.6. Adjustment
The objectives of seasonal adjustment are to identify and remove seasonal fluctuations and calendar effects which can mask short and long-term movements in a time series and impede a clear understanding of underlying phenomena. Seasonal adjustment is therefore a fundamental process in the interpretation of time series to inform policy making (ESS guidelines on seasonal adjustment, 2015 Edition, Annex, point 1).
For selected sub-annual national accounts data, such as notably the quarterly main aggregates, time series are usually not only published in their unadjusted form, but also with various types of adjustment (e.g. seasonal, calendar, trend-cycle).
According to the ESA transmission programme, quarterly data are to be provided in non-seasonally adjusted form, as well as in seasonally adjusted form (including calendar adjustments, where relevant) except for previous year’s prices.
The provision of quarterly data that only include calendar adjustments is voluntary.
For sector accounts, seasonal adjustment (including calendar adjustments, where relevant) is compulsory for a limited set of series.
For Quarterly National Accounts and Quarterly Sectoral Accounts, Italy is applies both calendar and seasonal type of adjustment according to an indirect method. Therefore top aggregates always match the sum of sub-components. The method in use is TRAMO-SEATS version 942 for Linux of September 2017 also used for treatment of any type of outliers (impulse, transitory changes, level shifts and ramp effects). The model is usually updated with the T+90 release of data of the second quarter. Calendar adjusted data are released, whereas trend-cycle are not.
No Comments
National accounts data concern all data produced and disseminated for an economy according to the definitions and guidelines of the European System of Accounts (ESA 2010).
National accounts provide data for the total economy, but may include breakdowns of the total economy (into sectors, industries, products, regions, etc.). National accounts provide data for several domains: annual and quarterly national accounts (main aggregates), sector accounts, financial accounts, supply and use and input-output tables, regional accounts and government finance statistics.
One of the main aggregates of national accounts is the rate of change of gross domestic product in volume, which is a synthetic indicator of the economic development of a country (or a region).
In Eurobase, countries' data are presented following the usual data structure.
At national level, data are available for :
- annual and quarterly national accounts
- annual and quarterly sector accounts
- annual financial accounts and balance sheets
- annual non-financial balance sheets
- supply and use and input-output tables
- annual and quarterly government finance statistics data: 'main aggregates', quarterly financial government accounts and government debt
- regional breakdowns of main national accounts variables and household accounts
- breakdown by industry of main national accounts variables
- breakdown of investment and non-financial assets by industry
- detailed data on taxes, social contributions and government expenditure by function
- pension entitlements in social insurance
In Italy, National Accounts data are organized for dissemination via the I.stat data warehouse in the following sections:
- annual national accounts (including breakdown by industry of main national accounts aggregates, breakdown of investments and non-financial assets by industry and Households final consumption expenditure by purpose)
- quarterly national accounts
- regional accounts (including households accounts by region)
- general government statistics data (including annual data, quarterly data, detailed data on taxes, social contributions and government expenditure by function)
- productivity measures
- environmental accounts (satellite)
- social protection accounts (satellite)
- agriculture, forestry and fishing accounts (satellite)
- health care accounts (satellite)
Financial data for annual and quarterly sector accounts and data on quarterly financial government accounts and government debt are produced and disseminated by the Bank of Italy .
31 January 2022
All statistical concepts and definitions to be used in national accounts are described in Annex A of the ESA 2010 Regulation (link to blue book on ESA2010 methodology). The two main sets of tables concern: (a) the institutional sector accounts; (b) the input-output framework, and the accounts by industry.
The sector accounts provide, by institutional sector, a systematic description of the different stages of the economic process: production, generation of income, distribution of income, redistribution of income, use of income and financial and nonfinancial accumulation. The sector accounts also include balance sheets to describe the stocks of assets, liabilities and net worth at the beginning and the end of the accounting period. The variables/concepts described in the sector accounts include transactions in products, transactions in non-produced non-financial assets, distributive transactions, transactions in financial assets and liabilities, other changes in assets, non-financial and financial assets and liabilities.
The input-output framework, through the supply and use tables, sets out in more detail the production process (cost structure, income generated and employment) and the flows of goods and services (output, imports, exports, final consumption, intermediate consumption and capital formation by product group). These variables are broken down by industry (NACE Rev. 2) and product (CPA 2014).
ESA 2010 also encompasses concepts of population and employment. Such concepts are relevant for the sector accounts, the accounts by industry and the supply and use framework.
Regional accounts provide regional breakdowns for major aggregates such as gross value added by industry, gross fixed capital formation and household income. Regional breakdowns are based on the NUTS classification. National accounts concepts are also used for regional accounts.
In addition Annex A of the ESA 2010 Regulation addresses and defines numerous other concepts and definitions, such as the definition of: statistical units and their groupings, flows and stocks, accounting rules (valuation, time of recording, consolidation and netting). The main features and principles for the compilation of national accounts can be found in Chapter 1.
Following the ESA 2010 guidelines, in national accounts two types of units and two corresponding ways of subdividing the economy are used: (a) institutional unit; (b) local kind-of-activity unit (local KAU). The first type is used for describing income, expenditure and financial flows as well as balance sheets. The second type of units is used for the description of production processes, for input-output analysis and for regional analysis.
An institutional unit is an economic entity characterised by decision-making autonomy in the exercise of its principal function. A resident unit is regarded as constituting an institutional unit in the economic territory where it has its centre of predominant economic interest if it has decision-making autonomy and either keeps a complete set of accounts, or is able to compile a complete set of accounts.
A local KAU groups all the parts of an institutional unit in its capacity as producer which are located in a single site or in closely located sites, and which contribute to the performance of an activity at the class level (four digits) of the NACE Rev. 2.
An institutional unit comprises one or more local KAUs; a local KAU belongs to one and only one institutional unit.
The national accounts population of a country consists of all resident statistical units (institutional units or local KAUs, see section 3.5). A unit is a resident unit of a country when it has a centre of predominant economic interest on the economic territory of that country, that is, when it engages for an extended period (one year or more) in economic activities on this territory.
National accounts are exhaustive. This means that all resident statistical units are covered.
The reference area for national accounts is the total economy of a country. The total economy of a country can be broken down into regions. The NUTS classification provides a single, uniform breakdown of the economic territory of the Member States of the EU.
The reference period to be used for presenting national accounts data is the calendar year for annual data and the quarter for quarterly data.
Two basic kinds of information are recorded: flows and stocks. Flows refer to actions and effects of events that take place within a given period of time (year or quarter), while stocks refer to positions at a point of time (usually the end of a year or quarter).
Direct assessment of accuracy (estimation of variance and bias components of MSE of estimates) is not applicable for NA data. Revision analysis can provide an assessment of data reliability.
For Quarterly National Accounts and Quarterly Sectoral Accounts a section dedicated to the revisions is available at http://www.istat.it/en/economic-trends. For key indicators, this section contains, besides the dissemination of information about revisions, the classification of revisions.
For Annual National a section of the press release is dedicated to the explanation and analysis of revisions of main aggregates with respect to the previous release.
With the exception of some variables concerning population and labour that are usually expressed in number of persons, hours or jobs, the ESA 2010 system shows all flows and stocks in monetary terms: in euros or other national currency. Flows and stocks shall be measured according to their exchange value, i.e. the value at which flows and stocks are in fact, or could be, exchanged for cash. Market prices are, thus, the ESA's reference for valuation.
In addition to measurement in current (market) prices, some national accounts variables are also expressed in previous year's prices and chain-linked volumes, see section 3.9. Furthermore, it is possible to derive growth rates and indices, and other measures '(e.g. percentages, per capita data, data expressed in purchasing power standards)' can be applied as well.
In Italy employment data are released also in Full Time Equivalent units.
Data sources, methods and compilation techniques are country specific, but should be employed in such a way that the definitions and concepts in ESA 2010 are met. Many guidance documents on general and specific national accounts compilation issues are available. See for more details section 10.6.
In Italy, the estimates of GDP are compiled building on a system of statistical sources and administrative data adapted to match ESA definitions. In the current system the national accounts are estimated within an integrated SUT system whose discrepancies are analysed and corrected, until they are reduced to mere statistical discrepancies to process through mathematical balancing. The balancing system applies to the estimates produced by the supply and the demand side. In turn, the income approach cannot be estimated independently and the allocation of income is obtained in a second step when the national accounts by institutional sector are produced. As the estimation of the gross operating surplus/mixed income is derived as a difference between the final estimates of value added and the other distributed primary incomes, the resulting income shares are a very important indicator of the reliability and economic plausibility of value added estimates. As a rule, the estimation processes are performed at the highest possible level of disaggregation to ensure both a high degree of reliability of the estimates and an adequate detail to represent the sectors evolution. The methods applied in the compilation process provides comprehensive estimates of GDP, including the non-observed components of the economy.
National accounts datasets are generally consistent. Some inconsistencies exist between non-financial and financial accounts, to solve it a National WG Istat-Bank of Italy is working.
National and regional accounts compilation builds up on statistics that are primarily collected for other purposes (primary statistics).
In order to compile the estimates of aggregates included in the system of national accounts, data derived from a large set of sources are used.
Sources of Istat own production include both business surveys and household surveys, and statistical registers built integrating survey and administrative data. These are supplemented by specific administrative archives (such as some INPS archives), as well as information drawn from external sources, both public and private. Data drawn from surveys or other sources are in part already defined in a consistent way with the definitions of national accounts, while those that follow different definitions must be corrected and appropriately reclassified to comply with the recording rules established by ESA.
Here follows a synthetic list of main sources used to compile the final version of annual national accounts, usually accomplished more than two years after the end of the reference year (in March of year t for data referring to year t-3).
As regards estimates of the supply side, the most relevant sources are those providing census-type information on enterprises: the statistical register of active enterprises (ASIA-Enterprises) and the information system on economic results of enterprises (Frame-SBS in the following). This micro database includes information on economic results for the whole population of active market enterprises (excluding agriculture and financial intermediation). It is built through a complex integration procedure of data from administrative archives, treated statistically and combined with data drawn from the survey on small and medium enterprises (PMI) and from the survey on the financial statements of large enterprises (SCI). Information on the financial statements of companies operating in financial intermediation are provided by the supervisory authorities, that is the Bank of Italy, the insurance supervisory authority (Istituto per la vigilanza sulle assicurazioni - IVASS) and the supervisory commission on pension funds (Commissione di vigilanza sui fondi pensione - COVIP). Estimates for the primary sector (Agriculture, Forestry and Fishing) are based on several sectoral sources, complementing the information derived from the survey on economic outcomes of agricultural holdings (RICA-REA) and the survey on the structure and output of agricultural holdings (SPA). For the non-profit sector a dedicated data base has been built starting from the statistical register of private nonprofit institutions and public institutions, integrated with information drawn from the sample survey on the non-profit sector and from a set of administrative archives (UNIEMENS INPS, IRAP, UNICO, VAT).
Concerning the General Government a very analytical approach is utilised, based on the collection and treatment of financial statement data of the whole set of institutional units included in this sector, both at the central and at the local level. For some government units (e.g. the State, municipalities, regions, local health care units, universities, social security institutions) data are collected through a centralized system, while for other units a specific statistical survey of financial statements in summary form is used (RIDDCUE survey). For the estimation of taxes, source data are integrated with those provided by the Tax and revenue agency (Agenzia delle entrate) and by the Finance Department of the Ministry of Economy and Finance (MEF). For the most recent year (t-1), information provided by the public sector working balance compiled by the Ministry of Economy and Finance is used, together with cash flow data collected by the Information System on the Operations of Government Bodies (SIOPE), extensively exploited for local entities.
As regards the demand side, estimates of private consumption are based primarily on data provided by the household expenditure survey. For part of the goods purchased by households, as well as for some capital goods, the commodity-flow method is utilized, calculating the value of final uses available for consumption and for capital formation in an indirect way, starting from the resources (defined as the sum of production and imports, less exports). For gross fixed capital formation, estimates obtained with the commodity-flow method are complemented by information on firm activities derived from Frame-SBS and specific sources, such as registers of vehicles and of shipping, the Building Permits Survey, data on military expenditure from the Ministry of Defence, and the results of R&D surveys. As regards foreign trade (imports and exports of goods and services), the data derive from the survey on traded goods (Intrastat and Extrastat components) conducted by Istat and from information on the trade of services extracted from the Balance of Payments compiled by the Bank of Italy. As regards labour input estimates, information collected by the Labour force survey is integrated with a broad database of administrative data (particularly social contribution statements) submitted to a statistical treatment. Information from statistical registers compiled in Istat are also used: the statistical register of active enterprises (ASIA-Enterprises), the statistical register of agricolture enterprises (ASIA-Agricolture), the statistical register of private non-profit institutions and public institutions, base population register and thematic register on labour.
Estimates for year t-2 are broadly based on provisional data, also of a structural kind, and on short-term indicators. Estimates for year t-1 are directly calculated starting from quarterly estimates based on indicators derived from Istat sources and, to a lesser extent, from other sources, administrative and other.
Dor quarterly estimates, within the adopted system, each annual aggregate to be disaggregated into quarters is associated to one or more quarterly or monthly indicators able to describe the short-term pattern of the same variable. The section "Main indicators used in the estimate (sources)" in the methodologival note annexes to the national quarterly press release presents a list of the indicators used by main variable categories.
New quarterly national accounts data are published each quarter: 4 times per year. However, depending on circumstances and national practices, initially released quarterly national accounts data may be revised and disseminated again. Annual national accounts data are published at least once a year: when data for a new year are added. But, depending on country practices and revision policy, annual data can also be published more often, e.g. publication of a provisional estimate early in the calendar year and a revised one later in the calendar year.
Frequency for Italian National Accounts dissemination (see also Section 10.1 and 10.3) is the following:
2 times per year: Annual National Accounts, Non-Financial Sectoral Accounts, Balance sheet for Non-Financial Assets, General Government Accounts, Taxes and Social Contributions, Employment;
2 times each quarter (Q+30 days (Preliminary) andQ+ 60 days): Quarterly National Accounts;
one time each quarter: Quarterly Non-Financial Sectoral Accounts, General Government Quarterly Non-Financial Accounts;
once a year: Regional Accounts, Disposable Income of Households in Italian Regions, Annual General Government Expenditure by Function, SUIOT.
National accounts data should become available to users as timely as possible, taking into account the frequency of the data (annual or quarterly), the character of the data (info on the structure of an economy or on conjuncture developments) and an adequate balance between accuracy and timeliness.
The ESA 2010 transmission programme defines the required timeliness for all national accounts tables. Quarterly tables should become available between 2 and 3 months after the quarter-end. The annual tables have to be transmitted between 2 months (main aggregates) and 36 months (supply and use tables) after the end of the reference year.
The geographical comparability of national accounts in Member States of the EU is ensured by the application of common definitions of the European System of Accounts ESA 2010). Worldwide geographical comparison is also possible as most non-European countries apply the SNA 2008 guidelines, and SNA 2008 is consistent with ESA 2010.
As the data for all reference periods are compiled according to the requirements of the ESA 2010, national accounts data are fully comparable over time. Also, in the case of fundamental changes to methods or classifications, revisions of long time series are performed, usually going far back into the past.
