Israel subscribed to the International Monetary Fund's (IMF) Special Data Dissemination Standard (SDDS) on April 23, 1996 and met all requirements on June 5, 2000. The country is generally in observance of the SDDS, meeting the specifications for coverage, periodicity, timeliness, and the dissemination of advance release calendars. Israel avails itself of one of its two flexibility options for the timeliness of the production index and disseminates the data one week later than prescribed. Overall, data and metadata are readily accessible. The Israeli macroeconomic statistics broadly follow internationally accepted standards and guidelines on concepts and definitions, scope, classification and sectorization, and basis for recording. Macroeconomic statistics in Israel rate highly on accuracy and reliability. Consistency across datasets is broadly adequate, although there still is room to improve monetary statistics. According to a 2006 Article IV Consultation report by the IMF, macroeconomic statistics are of generally high quality and broadly adequate for surveillance, although there are few shortcomings particularly in monetary and government finance statistics. However, most datasets follow the international good practice of providing clear and transparent information about revision schedules and the revisions themselves.

General Overview

Israel subscribed to the Special Data Dissemination Standard (SDDS) on April 23, 1996 and met all requirements on June 5, 2000. The country is generally in observance of the SDDS, meeting the specifications for coverage, periodicity, timeliness, and the dissemination of advance release calendars. Israel avails itself of one of its two flexibility options for the timeliness of the industrial production index and disseminates the data one week later than prescribed. (IMF 2006, p. 4)

According to a 2006 Article IV Consultation report by the International Monetary Fund (IMF), Israel is generally in observance of the Special Data Dissemination Standard, meeting specifications for coverage, periodicity, timeliness, and dissemination of advance release calendars. (IMF 2007, p. 39)

Israel's macroeconomic statistics are of generally high quality and are broadly adequate to conduct effective surveillance. Israel's statistical managers are highly aware of all dimensions of data quality and are undertaking reforms - some at the cutting edge - to continue, among other things, to enhance data quality. However, some shortcomings may impede the accurate and timely analysis of economic and financial developments and the formulation of appropriate policy. Foremost among these are deficiencies in the timeliness, concepts and definitions, and classification of monetary statistics. There also is room to enhance source data for national accounts, producer prices, and government finance statistics. (IMF 2006, p. 4)

The Israeli macroeconomic statistics broadly follow internationally accepted standards and guidelines on concepts and definitions, scope, classification and sectorization, and basis for recording. The recording basis for monetary statistics generally follows the recommendations of the Monetary and Financial Statistics Manual (MFSM), but their classification/sectorization, concepts and definitions, and, to a lesser extent, scope, need to be improved. Government finance statistics are generally consistent with the System of National Accounts 1993 (1993 SNA) and the Government Finance Statistics Manual 2001 (GFSM 2001). They could benefit from strengthened interagency coordination aimed at improving the scope and basis for recording. The scope and recording basis for producer prices also could be improved. The national accounts follow the 1993 SNA, but the recording of GDP at market prices should be brought in line with international standards. (IMF 2006, p. 5)

Macroeconomic statistics in Israel rate highly on accuracy and reliability. In large part, this reflects the efforts to assess source data and validate intermediate data and statistical outputs across datasets. Source data for monetary statistics are very accurate. (IMF 2006, p. 5)

Production and dissemination of real and fiscal sector statistics (for which the Central Bureau of Statistics (CBS) uses some estimates) in Israel meet SDDS periodicity requirements and are commendably timely. The Bank of Israel (BOI) has initiated steps to consolidate responsibility for monetary statistics and to improve timeliness. Consistency across datasets is broadly adequate, although there still is room to improve monetary statistics. Most datasets follow the international good practice of providing clear and transparent information about revision schedules and the revisions themselves. (IMF 2006, p. 6)

Overall, data and metadata are readily accessible, reflecting to a great extent recent efforts of the CBS to revamp its website and enhance responsiveness to inquiries by data users. The BOI is working to address current problems affecting users' access to monetary data and metadata, including upgrading the BOI website. (IMF 2006, p. 6)

The CBS is the central body of the government whose role is to collect, process and publicize statistical information on the population, the economy and the society in Israel. The work of the CBS is done at a standard which is internationally accepted by most nations of the world and this enables comparisons of statistical information between Israel and different countries. The Bureau is empowered by the Statistics Ordinance (new version) 1972. Its main work focuses on preparing statistical data - current, monthly, quarterly and annually. (CBS website)

The CBS distributes statistical information that it collects in a wide variety of publications: the Statistical Abstract of Israel, monthlies (General Statistics, Prices and Selected Economic Indicators of Developments in Recent Months), quarterlies of branch statistics (Agriculture, Transport, Tourism and Hotel Services), Foreign Trade Quarterly, New Statistical Projects and Publications in Israel Quarterly, Census Publications, Special Publications and Technical Publications (statistical methodology, classifications, etc.). A great deal of information is distributed to users on magnetic media, as well, while maintaining strict confidentiality regarding details of the individual. Current and updated statistical information is also brought to the public's knowledge through press releases published daily by the Bureau. (CBS website)

The Principles

Comprehensive economic and financial data, disseminated on a timely basis.

FC

According to a 2006 Article IV Consultation report by the International Monetary Fund (IMF), Israel is generally in observance of the Special Data Dissemination Standard, meeting specifications for coverage, periodicity, timeliness. (IMF 2007, p. 39)

Israel meets Special Data Dissemination Standard (SDDS) specifications for the coverage, periodicity, and timeliness for all data categories, except for production index, on which it has taken a flexibility option.. (IMF SDDS website)

Ready and equal access to official statistics.

FC

Based on the findings of a 2006 Report on the Observance of Standards and Codes (ROSC), the International Monetary Fund indicated that overall, data and metadata for Israel are readily accessible, reflecting to a great extent recent efforts of the Central Bureau of Statistics (CBS) to revamp its website and enhance responsiveness to inquiries by data users. (IMF 2006, p. 6)

According to a 2006 Article IV Consultation report by the International Monetary Fund (IMF), Israel is generally in observance of the Special Data Dissemination Standard requirements on dissemination of advance release calendars. (IMF 2007, p. 39)

Data for all sectors - real sector, fiscal sector, financial sector, external sector, and socio-demographic - have advance dissemination release calendars and are simultaneously released to all interested parties. (IMF SDDS website)

Official statistics must have the confidence of their users. Transparency of its practices and procedures is a key factor.

CP

The dissemination of the terms and conditions under which official statistics are produced, including those relating to the confidentiality of individually identifiable information, are undertaken and reported by various public agencies, notably the Central Bureau of Statistics (CBS), the Bank of Israel (BOI), and the Ministry of Finance (MOF). (IMF SDDS website)

The Central Bureau of Statistics (CBS) has a clearly mandated responsibility for collecting, compiling, analyzing, abstracting, and disseminating information on a great majority of Israel's official statistics covering the economic, social, and general conditions of the country and its citizens. All statistics collected and published by the CBS are governed by the Statistics Ordinance [New Version], 5732-1972. (IMF SDDS website)

The Statistics Ordinance stipulates that the CBS cannot publish, or otherwise make available to any individual or organization, information that would enable the identification of any individual person or entity. The obligation to protect confidentiality is also rooted in the Protection of Privacy Law, 5741-1981. This confidentiality requirement is also reflected in the CBS Code of Ethics. (IMF SDDS website)

Identification of internal government access to data and identification of ministerial commentary on the occasion of statistical releases are clear on data for all sectors - real sector, fiscal sector, financial sector, external sector, and socio-demographic. (IMF SDDS website)

Israel does make provision for information about revisions to data and advance notice of major changes in methodology is stated clearly on various government websites and publications. (IMF SDDS website)

According to information provided by Israel on the IMF SDDS website, dissemination of terms and conditions under which official statistics are produced for Central Government Operations, Central Government Debt, and Share Price Index do not include terms and conditions relating to the confidentiality of individually identifiable information. The CBS re-disseminates daily data on Share Price Index on the Tel Aviv Stock Exchange index as a service to the public. Presumably, the confidentiality requirements of the Statistics Ordinance cover Share Price Index. Dissemination of information related to Central Government Operations and Central Government Debt, however, is the responsibility of the Ministry of Finance. (IMF SDDS website)

Based on the findings of a 2006 Report on the Observance of Standards and Codes (ROSC), Israel has strong legal and institutional frameworks that support the compilation and dissemination of statistics .The Bank of Israel (BOI) is responsible for compiling and disseminating monetary statistics by tradition, but the current Bank of Israel Law does not specifically spell out this mandate. However, this law explicitly empowers the central bank to collect data and ensures the confidentiality of the reported data. Resources are broadly adequate to enable the central bank to undertake its current and development work programs. The BOI management is keenly aware of quality issues and is undertaking a major institutional review of its internal organization with the aim of becoming more efficient in discharging its duties while ensuring continued professionalism, transparency, and observance of ethical norms. (IMF 2006, pp. 4-5)

A set of standards that deals with the coverage, periodicity and timeliness of data must also address the quality of statistics.

CP

According to a 2006 Article IV Consultation report by the International Monetary Fund (IMF), macroeconomic statistics are of generally high quality and broadly adequate for surveillance, although there are few shortcomings particularly in monetary and government finance statistics. (IMF 2007, p. 39)

Documentation on methodology and sources used in preparing statistics for all categories are disseminated on government and other regulatory body websites or publications. Summary methodologies are provided for most data categories on the SDDS website, with the exceptions of Interest Rates and Exchange Rates. (IMF SDDS website)

Israel provides for dissemination of component detail, reconciliation with related data, and statistical frameworks that support cross-checks and provide reasonableness of data for all categories, with the exception of Central Government Debt. (IMF SDDS website)

Based on the findings of a 2006 Report on the Observance of Standards and Codes (ROSC), the International Monetary Fund indicated macroeconomic statistics in Israel rate highly on accuracy and reliability. In large part, this reflects the efforts to assess source data and validate intermediate data and statistical outputs across datasets. The CBS needs additional resources to improve the source data for national accounts, producer prices, and government finance statistics. For national accounts and producer prices, priority should be given to obtaining more comprehensive and timely inputs. Similarly, for government finance statistics, more timely source data on central and local government operations would contribute to better inputs in the compilation of the consolidated general government accounts. Revision studies for national accounts and, to a lesser extent, producer prices would enhance their accuracy and reliability. Source data for monetary statistics are very accurate. (IMF 2006, p. 5)

The Israeli macroeconomic statistics broadly follow internationally accepted standards and guidelines on concepts and definitions, scope, classification and sectorization, and basis for recording. The recording basis for monetary statistics generally follows the recommendations of the Monetary and Financial Statistics Manual (MFSM), but their classification/sectorization, concepts and definitions, and, to a lesser extent, scope, need to be improved. Government finance statistics are generally consistent with the System of National Accounts 1993 (1993 SNA) and the Government Finance Statistics Manual 2001 (GFSM 2001). They could benefit from strengthened interagency coordination aimed at improving the scope and basis for recording. The scope and recording basis for producer prices also could be improved. The national accounts follow the 1993 SNA, but the recording of GDP at market prices should be brought in line with international standards. (IMF 2006, p. 5)

However, according to the IMF's report in 2007, the methodology underlying the reported overall annual fiscal balance is not in conformity with internationally accepted best practice, as interest expenditure excludes the inflation component. The authorities are gradually moving toward implementation of the methodology that is standard in other countries, so that the discrepancy will decline over time. Data submitted by the Central Bureau for Statistics for the 2006 Government Finance Statistics Yearbook present cash and accrual data for revenue and expense, as well as transactions in non-financial assets, broadly following the GFSM 2001 format. However, data on transactions and stocks of financial assets and liabilities, the compilation of which requires Ministry of Finance (MoF) collaboration, have not been submitted. Within-year monthly reports on central government operations -compiled by the MoF - cover only the main aggregates of budgetary accounts, not broken down by components. (IMF 2007, p. 39)