NSCB Resolution No. 7
Series of 1997
APPROVING FOR IMPLEMENTATION THE RECOMMENDATIONS OF THE TASK FORCE ON FIXED CAPITAL FORMATION
WHEREAS, developments and new practices in the economy have defined new dimensions in accounting for gross fixed capital formation;
WHEREAS, the Task Force on Fixed Capital Formation was created in August 1996 to perform the following activities: to identify developments in the economy; to determine whether present data sources in estimating real investments include information on these developments; and to recommend solutions on how data will be sourced to account for investments in construction and durable equipment;
WHEREAS, after a three-month study, the Task Force came up with its findings which were initially presented to the Board in its January 1997 meeting;
WHEREAS, the Task Force has finalized its report and is now seeking the approval and adoption of the recommendations of the Task Force as contained in the Report of the Task Force on Fixed Capital Formation;
NOW THEREFORE, BE IT RESOLVED AS IT IS HEREBY RESOLVED, that the Executive Board approve the attached recommendations of the Task Force on ways to improve the estimation of Fixed Capital Formation. Furthermore, it is resolved that the Task Force on Fixed Capital Formation will continue to exist and is authorized to create Technical Working Groups to assist it in the execution of specified recommendations.
BE IT RESOLVED FURTHER, that the National Statistical Coordination Board (NSCB) endorse to the Department of Budget and Management the statistical activities which will be needing additional funding support and that the NSCB consider the statistics/statistical activities required in the estimation of Fixed Capital Formation for inclusion in the system of designated statistics under E.O. 352, Series of 1996.
Approved this 31st day of July 1997.
| TASK FORCE RECOMMENDATIONS | AGENCIES INVOLVED |
| 1. Undertake an in-depth assessment/ reconciliation of data available from major source agencies and how these can be used to improve estimates in fixed capital formation. | Task Force on Fixed Capital Formation and the respective TWGs |
| 2. Execute a Memorandum of Understanding between NSCB and source agency to facilitate regular submission of data. | NSCB and all identified source agencies |
| 3. Provide another form of disaggregation for estimating investments in construction and durable equipment; develop methodology for estimating fixed capital formation by sector. | Task Force on Fixed Capital Formation and the respective TWGs |
| 4. Devise a scheme to capture investments that are entirely private sector initiatives; explore the possibility of tapping other LGU administrative-based data as alternative data source on capital formation. | Task Force on Fixed Capital Formation and the respective TWGs |
| 5. Request NSO to show greater details on building permits for proper valuation of structures. | NSO, NSCB, NEDA, DILG, NPC, NIA |
| 6. Update investment parameters by conducting the Survey on the Establishment of Benchmark Parameters on Imports of Durable Equipment. | NSO, NSCB |
| 7. Estimate amounts invested in civil works and durable equipment for agencies implementing BOT projects and variants thereof. | NPC, DPWH, DOTC |
| 8. Apply real-time electronic data exchange for the timely retrieval of information on fixed capital formation. | NSCB and all source agencies |