STATISTICAL OFFICE REPORT ON IMPLEMENTATION OF ANNUAL PLAN OF OFFICIAL STATISTICS FOR 2016

Transcription

1 STATISTICAL OFFICE REPORT ON IMPLEMENTATION OF ANNUAL PLAN OF OFFICIAL STATISTICS FOR 2016 Podgorica, February 2017

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3 TABLE OF CONTENTS SUMMARY 4 I. LEGISLATION AND OTHER REGULATIONS OF OFFICIAL STATISTICAL SYSTEM 6 1. Legislative and other documents adopted during II. IMPLEMENTATION OF ANNUAL PLAN OF OFFICIAL STATISTICS FOR Statistical Office 7 2. Other official statistical producers 8 III. ACHIEVEMENT OF DEVELOPMENT AIMS OF MONTENEGRO OFFICIAL STATISTICS 9 1. Alignment of Montenegrin official statistics with EU acquis in the field of official statistics Macroeconomic statistics Agriculture statistics Environmental statistics Business statistics Social statistics Classifications and registers Quality management through monitoring implementation of European Statistics Code of Practice Strengthening of administrative capacities through continuous HR development to ensure official statistics sustainability Human resources and education Financial resources External audits and controls Increased use of administrative sources aimed at reducing costs and overburden of reporting units Use of administrative data for statistical purposes Improvement of statistical processes organization and control by introducing modern technologies Modernization of official statistics data collection New applications Program improvements Strengthening coordination role of Statistical Office in statistical system European integration and international cooperation International projects Dissemination development in accordance with IT development and strenthening communication with users Dissemination Public relations 34 Annex 1 List of statistical surveys carried out in line with 2016 Official Statistics Annual Plan

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5 SUMMARY As a summary of key results in 2016 that contributed to the achievement of strategic objectives defined by the Programme and Development Strategy of Official Statistics , we would like to point out the following: 1. Aimed at the alignment of Montenegro official statistics with the EU acquis in the field of official statistics: Secondary legislation adopted: Annual Plan of Official Statistics for 2017 (published in the Official Gazette of Montenegro No 6/17 of 27 January 2017); Statistical Office carried out 159 (99%) statistical surveys out of total 160 surveys planned by the Annual Plan of Official Statistics for 2016; Methodology alignment with the European Union standards was done in the following domains: macroeconomic statistics, NA and prices; agriculture and environment; business statistics - tourism, energy, industry, construction, transport; statistics of living conditions and household consumption, and implemented two statistical classifications; Significant progress achieved in the fulfilment of closing benchmarks for the Chapter 18 - Statistics (ESA 2010), by the trilateral cooperation agreement in NA, general government and related statistics domain signed by Ministry of Finance, Central Bank of Montenegro, and Statistical Office in May 2016; The 2017 Statistical Data Release Calendar of Statistical Office and other official statistics producers published on the official Statistical Office s website; Printed and published 7 publications; Published 236 statistical releases (monthly, quarterly, and annual); Replied to 781 user requests, out of the total number of requests, 721 refer to the requests for the data and information by institutions, while 60 requests are sent by media. Assessment some progress and some level of preparation, in the progress report of European Commission for the Chapter 18 - Statistics, with the recommendation of considerably strengthening of human and final resources, along with further alignment with the ESA 2010 methodology, including government finance statistics. 2. Quality management, through the implementation of European Statistics Code of Practice: Quality Management System Establishment Guide in Statistical Office prepared (draft version); Structure of Quality report for producers and users defined, which serves as an instrument for monitoring the relevant quality indicator group; Process of statistical activities related to the preparation for carrying out the User satisfaction survey finalized with the aim to assess the satisfaction level of users with the statistical data quality. 4

6 3. Aimed at strengthening administrative capacities and staff education: Expert staff of Statistical Office strengthened, employed 5 employees on the permanent basis; Traineeship in EUROSTAT with 4-6 months of stay was participated by 3 staff members; Education and participation in 151 international activities (conferences, meetings, workshops, study visits) out of Montenegro aimed at the improvement of official statistical system of Montenegro under the IPA multi-beneficiary project. 4. Aimed at broader use of administrative data sources for the needs of official statistics: Four Agreements on Mutual Cooperation signed with administrative data providers with the aim to reduce overburden of reporting units and costs. 5. Aimed at improved statistical processes by the introduction of new technologies: CAWI, CAPI and CATI used in statistics of tourism, agriculture, energy, ICT, with the aim to modernize the process of collection, processing and dissemination of data; All software in Statistical Office licensed; The newest Windows user licenses installed; Permanent license for ArcGIS spatial register provided. 6. Coordination role of Statistical Office in the statistical system strengthened: Statistical Office has become a direct beneficiary of the GRANT contract, within the IPA II multibeneficiary programme ( ) with the support and agreement of Eurostat; Regular meetings on the quarterly level for Chapter 18 - Statistics, with the aim to familiarize all members about activities in this chapter alignment process, with a special accent on final benchmarks defined by the joint negotiation position in September 2014; 7. Development of dissemination in accordance with development of IT and strengthening of communication with users: On the occasion of regained independence, two publications were printed out: 1. The most used statistical data ( ) ; and 2. Women and Men in Montenegro. 5

7 I. LEGISLATION AND OTHER REGULATIONS OF OFFICIAL STATISTICAL SYSTEM At the beginning of 2014, the Government of Montenegro adopted the Development Strategy of Official Statistics that defines mission, vision, and strategic goals of Montenegrin Statistical System. For the needs of middle-term planning, the Programme of Official Statistics (Official Gazette of Montenegro No 13/14 of 14 March 2014, and amendments (Official Gazette of Montenegro No 71/15 of 17 December 2015) providing development goals that are to be achieved in period On the basis of the Law on Official Statistics and Official Statistical System, hereinafter referred to as: the Law (Official Gazette of Montenegro No 18/12 of 30 March 2012) there is adopted the Annual Plan of Official Statistics. The Plan is adopted for the every calendar year and is based both on the users needs, and the EU demands, provided in the Eurostat document: Statistical Requirements Compendium 1. Additionally, on the basis of the above mentioned Law, and in cooperation with other official statistics producers, the 2017 Statistical Data Release Calendar of Statistical Office and other official statistics producers is adopted and published on the official website of Statistical Office. 1. LEGISLATIVE AND OTHER DOCUMENTS ADOPTED DURING Annual Plan of Official Statistics for 2017 is planning to carry out 219 statistical surveys. Out of total number of planned statistical surveys, there are 166 (or 76%) statistical surveys carried out by Statistical Office as the main coordinator and disseminator of statistical data, while 53 (or 24%) surveys are carried by other official statistics producers. Annual Plan of Official Statistics is based on the users needs and Five-Year Programme of Official Statistics as well as the European Union requests mentioned in the Eurostat document: Statistical Requirements Compendium. 2. The 2017 Statistical Data Release Calendar of Statistical Office and other official statistics producers represents an overview of statistical surveys and publications with information on dynamics, contents, period, and format of releasing statistical surveys and publications. It is published on the official website of Statistical Office

8 II. IMPLEMENTATION OF ANNUAL PLAN OF OFFICIAL STATISTICS FOR 2016 Pursuant to Article 26 of the Law, in cooperation with other official statistics producers Statistical Office prepares The Report on Implementation of Annual Plan of Official Statistics for Pursuant to the Law, official statistical activities are done by official statistical producers: Statistical Office, as the coordinator of statistical system, Central Bank of Montenegro, Ministry of Finance and 7 other official statistical producers, defined by the Official Statistics Programme. Out of total 212 statistical surveys, there are 160 (75%) surveys within the competence of Statistical Office, while other official statistical producers are competent for 52 (25%) surveys. In 2016, there are carried out 99% (211) planned statistical surveys, while 1% (or 1) is not carried out. Table 1. Overview of total number of planned, carried out, and not carried out statistical surveys in 2016 Planned Statistical Statistical Ord. statistical activities activities not Name of official statistical producer No activities carried out carried out Number Number Number 1. Statistical Office Central Bank of Montenegro Ministry of Finance Securities Commission of Montenegro Customs Administration of Montenegro Tax Administration Pension and Disability Insurance Fund Health Insurance Fund Public Health Institute Ministry of Science TOTAL STATISTICAL OFFICE Out of total 160 planned statistical surveys, Statistical Office has carried out 159 (99%) surveys, of which 14 new and 19 pilot statistical surveys. The purpose of pilot statistical surveys is to check prepared methodology and organizational solutions through a simulation of all statistical production phases, so that all possible shortcomings are timely corrected. One statistical survey, Report on Incubator Stationary Activities has not been carried out. The reason for this is a lack of registered incubator station in the reporting year. 7

9 2. OTHER OFFICIAL STATISTICAL PRODUCERS Out of total number of planned statistical surveys, 52 (25%) statistical surveys are under competence of other official statistical producers, and they are all carried out. Results of not carried out statistical surveys are available to users on official web pages of official statistical producers. 8

10 III. ACHIEVEMENT OF DEVELOPMENT AIMS OF MONTENEGRO OFFICIAL STATISTICS Development aims of Montenegro official statistics for period are determined by obligation and priorities of Montenegro, defined by national policies, before all, European integration policy. The purpose of official statistics is to ensure quantitative and representative information on economic, demographic, social, and environmental conditions in Montenegro, to all users, aligned with international methodology and the highest professional standards. Development aims of Montenegro official statistics are: 1. Alignment of Montenegro official statistics with the EU acquis in the field of official statistics; Quality Management, through monitoring the implementation of European Statistical Code of Practice; 2. Quality management through monitoring the implementation of European Statistical Code of Practice; 3. Strengthening administrative capacities through continuous development of human potentials to ensure the official statistics sustainability; 4. Higher use of administrative sources aimed at reduction of costs and of overburden of reporting units; 5. Improvement of organization and control of statistical processes by introduction of modern technology; 6. Strengthening the Statistical Office s coordination role in statistical system; 7. Development of dissemination in accordance with development of information technologies and strengthening communication with users. The progress achieved in 2016 aimed at fulfilment of development aims is provided further in the Report by statistical domains. 1. ALIGNMENT OF MONTENEGRIN OFFICIAL STATISTICS WITH EU ACQUIS IN THE FIELD OF OFFICIAL STATISTICS Full alignment with the EU acquis in the Chapter 18 Statistics means to ensure the official statistics on social and economic movement of Montenegro, in accordance with international standards implemented in ESS. To achieve a full harmonization, it is necessary to adopt the EU acquis and create conditions for its implementation within Montenegrin statistical system. 9

11 1.1. MACROECONOMIC STATISTICS a) National Accounts With the aim to achieve a complete alignment request of the European Statistical System ESS, in terms of availability of statistical indicators and methodology used, Statistical Office has achieved a progress during 2016 in the area of annual and quarterly accounts by the publication of annual GDP and GNI as well as quarterly GDP in accordance with the ESA 2010 methodology. The highest result achieved in this area is the work on supply and use table compilation. As before, in accordance with the ESA programme for the NA transmission, Statistical Office transmitted produced and available data to Eurostat. A significant progress has been achieved in this manner in fulfilling benchmarks for Chapter 18 - Statistics. Supply and use table compilation production of supply and use table for the reference year 2013 is supported by the current IPA 2013 national project whose implementation started in the middle of The work on balancing the table is ongoing and the results will be available until the end of project, August Production of tables is one of conditions for closing benchmarks of negotiation Chapter 18 - Statistics. The data from supply and use tables represent the basis for negotiation of Chapter 33 Financial and budget provisions, in part of defining an average weighted VAT rate, as one of elements for definition of financial contribution of Montenegro to the EU budget; Final results of annual GDP for 2015 published by production and consumption side in current and constant prices, by the activity classification NACE Rev.2, in accordance with the ESA 2010 methodology. In accordance with the ESA 2010 programme for data transmission, the mentioned data were transmitted to Eurostat via Edamis web portal in SDMX format; Results of annual GNI (Gross national income) for 2015 published; Final data of quarterly GDP for 2015 published as well as preliminary data for period I-III quarter of 2016, in line with the ESA 2010 methodology. The data are transmitted to Eurostat via Edamis web portal; In accordance with defined measures for closing negotiations for Chapter 18 Statistics, during 2016 there has been intensified a work on producing the document Gross National Income Inventory - GNI Inventory. This document will provide detailed explanations on sources and methods used in the production of macroeconomic aggregate - Gross national income; In accordance with defined measures for closing negotiations for Chapter 18 - Statistics during 2016 an active work was done on the production of document Quarterly National Accounts Inventory - QNA Inventory ); During 2016 a work on producing the non-financial sector accounts has started by defining available data sources for an experimental calculation of non-financial sector accounts, in accordance with the Official Statistics Programme. 10

12 In accordance with Trilateral Agreement on Cooperation, in area of NA statistics, general government sectors and related statistics (signed in May 2016, between Ministry of Finance, Central Bank of Montenegro, and Statistical Office) during 2016, representatives of the mentioned institutions worked on the aligning of Classification of Institutional Units by Institutional Sectors for Total Economy with the the European System of Accounts ESA b) Foreign trade In area of foreign trade statistics, a methodological progress was achieved in two expected statistical results, defined by Official Statistics Programme: foreign trade of Montenegro by characteristics of enterprises for 2014, and foreign trade of Montenegro in invoice value for Survey Foreign trade of Montenegro by characteristics of enterprises for 2014 will provide data on trade of goods done by: activities; size; number of employees, type of business entities that take part in foreign trade of goods; Survey Foreign trade of Montenegro in invoice value for 2014 will provide the data on foreign trade of goods by invoice value, i.e. value in currency. c) Foreign affiliates statistics - FATS statistics With the aim of aligning with the Regulation (EC) No 716/ and Eurostat s Release Calendar, a progress has been achieved by changing the dynamics of FATS data production and dissemination. The deadline for releasing the FATS data was shortened, instead on 31 December 2016, the data for 2015 were published on 28 October d) Structural survey on enterprise operations With the purpose of aligning with the Regulation (EZ) No 295/2008 and Eurostat s Release Calendar a progress has been achieved by changing the dynamics of production and dissemination of data on enterprise operation. The deadline for releasing of enterprise operations data was shortened, i.e. instead of 31 December 2016, the data for 2015 were published on 28 October e) Price statistics Within the price statistics, Harmonized Index of Consumer Prices (HICP) and Purchasing Power Parity (PPP) are to a large degree aligned with the EU acquis. In 2016, Statistical Office implemented one of

13 the main Eurostat s recommendations provided in the 2015 Progress Report, thus a complete compliance with the Regulation (EC) No 2015/ has been achieved: Weights for Harmonized Index of Consumer Price survey have been drafted for 2016; Monthly Harmonized Indices of Consumer Prices for 2015 and 2016 have been calculated for reference year 2015 (2015=100). The data were submitted to Eurostat via Edamis web portal; European Classification of Individual Consumption according to Purpose ECOICOP, five-digit level; Questionnaires created for pilot survey House Price Index - HPI, implemented under IPA project (Subcomponent 1.2: Introduction of experimental House Price Index - HPI, IPA 2013; PP17: Price statistics HICP, House price index, IPA 2014). Also, aimed at the implementation of mentioned pilot survey, during 2016 the cooperation with the administrative sources has been initiated with the purpose to take over the data from the administrative records; Metadata and Inventory on Harmonized index of consumer prices and Purchasing power parity updated; Under the survey of Producer Price of Industrial Products Index, there were created metadata and transmitted to Eurostat via web application Metadata Handler AGRICULTURE STATISTICS In area of agriculture statistics in 2016, significant improvements occurred within the harmonization process with the acquis. The survey on structure of agricultural holdings has been for the first time carried out in accordance with the Regulation (EZ) No 1166/ Activities to develop Statistical Register of Agricultural Holdings are continued. There are re-designed 5 sample surveys aimed at reducing costs and overburden of reporting units. Under livestock statistics there has been selected an appropriate method for the calculation of Gross Indigenous Production - GIP and improved statistical tools. In Annual crop statistics, there has been used CATI method for data collection in pilot crop production statistical survey, using phone. A significant progress has been achieved in area of agri-monetary statistics, divided in statistics of prices and accounts in agriculture. In prices 2016, absolute agricultural prices were calculated for period. In area of economic accounts in agriculture, there was calculated a value of: Production Account in agriculture for period, while the estimations were done for

14 Generation of Income Account, and Entrepreneurial Income Account, for period , in accordance with the Regulation (EC) No 138/ a) Structural agricultural statistics Structure of agricultural holdings survey statistical data on agricultural holding structure play an important role in design, implementation, monitoring, and evaluation of common agricultural policy. The survey on structure of agricultural holdings is the backbone of agricultural statistical system. It provides micro data on labour force engaged in agriculture, land use, livestock, and agricultural production methods. It is a statistical basis for drafting typology of agricultural holdings, what is a key for the establishment of Farm Accountancy Data Network FADN in Montenegro; The survey also resulted as a need defined by negotiation Chapter 11 Agriculture and rural development, and for needs of the accession to the structural funds and subsidies for development of agriculture. Quality of Statistical Register of Agricultural Holdings improved by matching the administrative databases and registers aimed at updating the data. An analysis of administrative data sources, their definitions, and technical format prepared. Statistical register of agricultural holdings is only used for statistical purposes; 5 sample-based surveys re-designed (Survey on structure of agricultural holdings, Survey on areas and plantations at the end of spring sowing, Survey on achieved yields of early-season crops, Survey on achieved yields of late-season crops, fruit, and grapes, Report on number of livestock of agricultural holdings), aimed at reducing costs and overburden of reporting units. The mentioned surveys are integrated in one Survey on structure of agricultural holdings. In area of structural agricultural statistics, in April 2016, Pilot Project ad-hoc Farm Structure Survey FSS via IPA 2014 Multi-beneficiary Statistical Co-operation Programme was carried out. The project purpose was to produce statistical tools (methodology and questionnaires, sample design and making application for data processing) that are used in the main survey on structure of agricultural holdings in November All activities were carried out by deadline and described in final report which was submitted to Eurostat

15 b) Livestock statistics In area of livestock statistics there was carried out Pilot Project Animal Production Statistics APS via IPA 2014 Multi-beneficiary Statistical Cooperation Programme. Activities carried out under this projects are the following: Preparation of complete database for the calculation of Gross Indigenous Production GIP, and data analysis as well as choice of an appropriate forecasts calculation method; Improvement of methodology on livestock aimed at obtaining the data on slaughtering out of slaughterhouses (methodology and questionnaire). All activities were carried out by deadline and described in the final report which was submitted to Eurostat. c) Crop statistics In annual crop statistics within aligning with the Regulation (EC) No 543/2009 6, Computer-assisted telephones interviewing - CATI method for testing crop production data collection by phone was used. The purpose was to test this method in the data collection process. We are expecting that the advantage of this method compared to the traditional one (survey on field) will be a fast contact with respondents, more complete answers from respondents, fast explanation and elaboration of given answers. d) Agri-monetary statistics Agricultural prices In accordance with the Eurostat Handbook for EU Agricultural Price Statistics 7, there were calculated agricultural absolute prices for period, thus achieving a full compliance with the European methodology in area of agricultural prices. Agricultural accounts In the area of economic accounts in agriculture, in accordance with the Regulation (EC) No 138/2004 8, there is defined the calculation of values for the four sets of accounts in agriculture: 1. Production account; 2. Generation of income account; 3. Entrepreneurial Income Account; 4. Capital account Handbook for EU Agricultural Price Statistics, March 2008, EUROSTAT i Draft agreement on statistics for agricultural land prices and rents

16 Statistical Office in cooperation with Biotechnical Faculty calculated the value for Production Account in Agriculture consisted of agricultural production value and intermediate consumption. The calculation was done for period. Aimed at the calculation of the rest of accounts sent in agriculture, there were done estimations for Generation of Income Account and Entrepreneurial Income Account for period ENVIRONMENTAL STATISTICS Within the environmental statistics, the waste statistics data are collected in accordance with the Regulation (EC) No 849/2010 (the Regulation (EC) No 2150/ ). The following data were transmitted to Eurostat: Generated and treated waste, number and capacity of waste treatment plants for reference year 2014; Structural indicators that refer to municipal waste generated by households and other sources, generated bulk waste, generated electricity and electronical waste, municipal waste treated by treatment operations for With the purpose of aligning with internationally comparable statistical data in area of statistics on generated and treated waste, during 2016 re-calculations of time series for period were done in accordance with the Regulation (EU) No 2150/2002 on waste statistics data. This activity was supported by IPA 2013 project - Component 2, Improvement of business statistics; Activity 3: Improvement of waste statistics BUSINESS STATISTICS Annual statistics of industrial production (PRODCOM statistics) and quarterly air transport statistics are fully compliant with the European standards, what is confirmed by progress report of European Commission and Eurostat s report. a) Business statistics and short-term indicators In energy statistics, in 2016 a progress was achieved having in mind that: For the first time produced and published releases for electricity balance, coal balance, and oil products balance, and wood fuels balance in natural units of measure and in TJ (Tera joule) for The data were produced in accordance with the Regulation (EC) No 1099/

17 Computer-Assisted Web Interview - CAWI method used for Oil Products Consumption survey data collection. In tourism statistics, a pilot survey on tourist activity of Montenegrin population was carried out for the first time with quarterly periodicity. Carrying out of this survey was supported by IPA 2014 project. The CAWI method for data collection was used (Computer-Assisted Web Interview) for Arrivals and Overnight Stays of Tourists in Collective Accomodation survey. There were created metadata for tourism statistics and transmitted to Eurostat via web application Metadata Handler. With the purpose of aligning with the Regulation (EC) No 692/ , there was produced an analysis Harmonization of Tourism Statistics with the EU acquis, to improve the data source quality. There were organized meetings with local tourist organizations in seven municipalities, in period from February to May 2016, with the following schedule: Podgorica, Bar, Ulcinj, Budva, Herceg Novi, Kotor, and Kolasin. The applications for data entering and processing were improved for surveys in tourism statistics. In air, maritime, and port transport statistics, quarterly data on air transport for the three quarters of 2016 were transmitted to Eurostat for the first time, in accordance with the Regulation (EC) No 437/ The applications for data entering and processing for surveys in transport statistics. In industry, construction, and other services statistics, metada were created and transmitted to Eurostat via web application Metadata Handler. Quality reports for PRODCOM were produced and by defined deadline sent to Eurostat. The methodology for construction producer prices calculation is prepared. For almost all surveys in business statistics there was created a dynamic view of data. b) ICTs use in households and by individuals The survey Information and Communication Technologies ICTs Use in Households and by Individuals used CAPI method for data collection by using laptops

18 a) Survey of income and living conditions SILC 1.5. SOCIAL STATISTICS In Income and living conditions statistics, the survey is conducted with regular dynamics in accordance with the document - DOC 065 (Methodological guidelines and description of EU-SILC Target variables) and the Regulation (EC) No 1177/ referring to this domain of statistics. A methodological progress is achieved by improving the questionnaire quality (ad-hoc module with questions on service access was added), achieving the alignment with the Regulation (EU) No 245/ and Eurostat s methodological guidelines for this statistical domain. The quality of Interviewer Guideline and data entering and processing application for income and living conditions statistics was improved in terms of contents. The 2014 data in this area were transmitted via e-damis web portal to Eurostat. b) Education statistics In education statistics, a progress was achieved in 2016 by using the national classification of education by areas for secondary education which makes possible to present the data in line with ISCED classification. The pre-school education data (school year 2014/2015), primary school data (start of school year 2014/2015, end of school year 2013/2014), and secondary education data (start of school year 2014/2015, end of school year 2013/2014) were transmitted to Eurostat for the first time. A progress in this area was achieved by starting using the administrative data sources: An agreement with University of Montenegro was signed for an electronic data delivery on this University s students; Start using electronic transmission of database MEIS (Montenegro education information system) from Ministry of Education for the pre-school, primary, and secondary education statistics. c) Criminal justice statistics In criminal justice statistics, a possibility to use administrative data sources was analysed during Pursuant to the agreement signed with the Judicial Council, an electronic database was obtained and analysed with the aim to improve the quality. The UNODC project Measuring and assessing organized

19 crime in the Western Balkans started for the introduction of organized crime statistics with 2-year duration. d) Labour market statistics In earning structure important achievements were recognised. The database of 2014 Earning Structure Survey, carried out in 2015, was sent to Eurostat for the first time, in accordance with deadlines set by the Regulation (EC) No 530/ A regular dynamics achieved in submitting the Labour Force Survey data to Eurostat, by deadline set in the Regulation (EC) No 692/ In December 2016, the database for III quarter of 2016 was sent to Eurostat. In line with Eurostat s recommendations, all necessary preparations were finished to start with the new sample design for LFS from CLASSIFICATIONS AND REGISTERS Continuous monitoring and adoption of international statistical classifications in all statistical domains are a basis for both national and international comparability. During 2016, a progress was achieved by adoption or continuous implementation of the following classifications: In price statistics department, there was implemented the European Classification of Individual Consumption according to Purpose ECOICOP, five-digit level; Under IPA national 2013 project subcomponent Classifications, a work on implementation of DEGURBA classification urbanization level and of GRID statistics was done; In accordance with Trilateral Agreement on Cooperation in National Accounts, general government and related statistics, signed in May 2016 between Ministry of Finance, Central Bank of Montenegro and Statistical Office), representatives of the mentioned institutions worked in 2016 on alignment of Classification of Institutional Units by Institutional Sectors for Total Economy with the ESA 2010 methodology; In education statistics, a progress was achieved in 2016 by use of national classification of education by areas for secondary education that provides data comparability by ISCED. Under the IPA 2013 project, subcomponent Updating Statistical Register of Agricultural Holdings and identification of administrative sources for forestry and environmental statistics, in 2016, work on the

20 improvement of the statistical register of agricultural holdings was done in terms of establishing link between Statistical register of agricultural holdings and administrative sources. Continued work was done on the improvement of Spatial Units Register, i.e., on the identification of new settlements by municipalities and changing the boundaries of existing ones. 2. QUALITY MANAGEMENT THROUGH MONITORING IMPLEMENTATION OF EUROPEAN STATISTICS CODE OF PRACTICE Statistical Office, as the coordinator of Montenegrin official statistical system, bases the quality management on the European Statistics Code of Practice, providing more quality statistical processes, results, and services to statistical data users. In addition to the European Statistics Code of Practice, to implement the quality system, Statistical Office also uses the Total Quality Management - TQM principles that represent a common European statistical system quality framework. Quality management in general sense covers the quality management of statistical system and production process, while it guarantees in closer sense the statistical result quality. Aligning of production processes in the entire institution forms a basis for increased productivity and continuous quality improvement of the statistical result itself. With purpose of strengthened quality implementation, during 2016 the work was done on the introduction of quality management system, and a progress was achieved in the following activities: A working version of Handbook on Quality Management Establishment in Statistical Office was prepared; Structure of Quality report for producers and users was defined as an instrument for monitoring the relevant group of quality indicators over a certain period with purpose to identify areas where the quality improvement is necessary. Eurostat s handbook and guide ESS handbook for Quality reports 17 is used for the implementation of report; A process of statistical activities for the preparation for carrying out the User Satisfaction Survey is finished. Its purpose is to identify how much the users are satisfied with the statistical data quality and define new users needs. Indicators collected by this survey will enable producers to have a more realistic perspective of users needs

21 3. STRENGTHENING OF ADMINISTRATIVE CAPACITIES THROUGH CONTINUOUS HR DEVELOPMENT TO ENSURE OFFICIAL STATISTICS SUSTAINABILITY 3.1. HUMAN RESOURCES AND EDUCATION In 2016, on the basis of open advertisement realised, there were employed 5 persons on a permanent basis expert staff. In the first half of 2016, there were issued 2 decisions on termination of employment, upon the request of 2 staff members employed on a permanent basis. The temporary based employment of 1 trainee terminated in the same period. Chart 1: Number of employees in Statistical Office in period Number of empoloyees in Statistical Office in period Number of employees Education During 2016, Statistical Office provided under IPA 2013 national project a large number of trainings for 45 participants (from Statistical Office and other institutions official statistics producers). Trainings covered the following most important statistical topics: Basis of statistics and statistical analysis, Methodology for official statistics surveys, seasonal adjustment, SPSS. In 2017, it is planned to continue with these trainings and education of additional number of employees with the mentioned topics and new ones of importance for official statistics. During the reporting period, Statistical Office staff members and Montenegro state institutions representatives participated in over 150 expert working groups for defining methodology, carrying out and improvement of survey, and data dissemination. With the purpose of developing Montenegro statistical system and cooperation with official statistics producers, Statistical Office staff members organized two-day seminar in the Institute for Public Health with topic Statistical system of Montenegro. 20

22 Three staff members of Statistical Office were on the traineeship in Eurostat/national statistical institutes NSIs out of Montenegro for the following statistical domains: income, poverty and social inclusion; economic accounts in agriculture, and education statistics. Traineeship in Eurostat or NSIs of member states is a type of training providing a staff member with a possibility to learn thoroughly the European statistical system and to obtain a comprehensive picture of how the entire statistical system is functioning, and definitions of different statistical domains FINANCIAL RESOURCES Approved budget of Statistical Office for 2016 was 1.83 millions of euro through two programmes: Statistical Survey, Analyses and Informing Programme, and Administration Programme. Regular budget realised from general revenues was 1.74 millions of euro, what makes 95% of total approved budget Public Procurement Plan (No of 25 January 2016, and amendment to the Public Procurement Plan No /2 of 2 June 2016) envisages the realization of public procurements in value of euro. During 2016, there were carried out 16 procurements by shopping method and 5 open public procurement procedures in total. Public procurements carried out in 2016 amounted in total: euro or 98% of total planned ones. Chart 2: Approved Statistical Office s budget overview in Approved budget

23 3.3. EXTERNAL AUDITS AND CONTROLS In 2016, Statistical Office had three external controls. One referred to public procurement controls, the second one to the state property management control, while planned and approved budget documentation of Statistical Office was the subject of the third control. The controls were carried out by State Audit Institution. Public procurement control was carried out in May - June 2016 period referring to the following: Plan and amendment to the 2015 Public Procurement Plan; 2015 Annual Report; all public procurement procedures in 2015; complete documentation for 12 public procurement procedures (decisions, decision on establishment of public procurement commission, decision on rejection of irregular applications, decisions on rejection, decisions on the most suitable application, decision on cancellation, minutes on public application opening, minutes on observation, assessment and valuation of applications, reports on public procurement procedure with individual valuation, contracts signed). State Audit Institution notes that the public procurement process in Statistical Office was carried out in legal manner and in accordance with procedures. Control of state property management by State Audit Institution was carried out in May June The control was done within the final 2015 budget audit. Audit report notes that the state property management process, that was subject of control, was carried out in accordance with the law; Control of planned and approved Statistical Office s budget documentation was done by State Audit Institution in May June Report on the control done notes that the documentation was prepared in accordance with law and regulated procedures. 22

24 4. INCREASED USE OF ADMINISTRATIVE SOURCES AIMED AT REDUCING COSTS AND OVERBURDEN OF REPORTING UNITS Continuous improvements of cooperation with other official statistics producers and administrative data providers are especially important for the harmonization process of Montenegrin legislation with the EU legislation aimed at system coherence and entirety as well as standard classification and definitions in statistical results production USE OF ADMINISTRATIVE DATA FOR STATISTICAL PURPOSES Statistical Office has a coordination role in releasing the official statistics, and quality and updated administrative data source is important for its further development. For the purposes of administrative database development, it is necessary to sign new agreements on interinstitutional cooperation what also includes obtaining administrative data. In 2016, Statistical Office intensified a cooperation with administrative data providers from different statistical domains. During this year there were signed 4 agreements, what makes in total 18 signed agreements on cooperation from different statistical areas. Statistical Office signed agreements with: Ministry for Human and Minority Rights aimed at implementation of project Gender Equality Index in Montenegro and other joint activities in area discrimination, gender equality and minority rights ; Municipality Tivat aimed at data exchange at the local government level; University of Montenegro in area od high education statistics; Ministry of Finance and Central Bank of Montenegro (trilateral agreement) by which the parties agree to cooperate in area of NA, general government sector, and related statistics regulated by relevant EU legislation. In 2016, Statistical Office continued to work on development and updating statistical register of agricultural holdings with existing administrative data sources; cooperation of Statistical Office with: Agency for Payments in Agriculture, Fishery, and Rural Development; and Administration for Food Safety, Veterinary and Phytosanitary Affairs. This activity is supported with IPA project subcomponent Updating statistical register of agricultural holdings and administrative data sources identification for forestry and environmental statistics. 23

25 5. IMPROVEMENT OF STATISTICAL PROCESSES ORGANIZATION AND CONTROL BY INTRODUCING MODERN TECHNOLOGIES At the time of fast information progress and globalization, an introduction of modern IT solutions in all phases of statistical processes represents a necessity to increase velocity and quality of data collection and use new available data sources. With the purpose of achieving the above, all software were licenced and the newest Windows user licences installed in Statistical Office. A permanent licence for ArcGIS spatial register was provided, by which a data conversion of digital cadastre plans in all standard formats for spatial data exchange is ensured. Improvements were done in modernization of IT equipment and use of modern methods by purchasing new server adapted with appropriate techniques and methods to enable a rational use of available server resources (virtualization). In protection against interruption in server work, there was done a reconstruction of old electrical installations in server room and purchased Uninterruptable Power Supply UPS that provide an emergency power when mains power fails. Upgraded is also the system protection against computer viruses by the purchase of antivirus software Kaspersky MODERNIZATION OF OFFICIAL STATISTICS DATA COLLECTION Statistical Office also continued in 2016 with the modernization of collection, processing, and dissemination of data by the use of CAWI, CAPI and CATI method: CAWI method, Computer-assisted web interviewing, was used for 3 surveys in total. In 2016, it was used for 2 statistical surveys: o Monthly report on arrivals and overnight stays ; o Purchase, sale and stocks of oil products. CAPI method, Computer aided personal interviewing by using laptops was implemented in total 2 surveys. In 2016, it was used for Use if ICTs in household and by individuals, for which Blaise application was developed. CATI method, Computer-assisted telephone interviewing, was used for pilot Survey on crop production in

26 5.2. NEW APPLICATIONS In 2016, new applications were developed for the following statistical surveys: Tourist activity of Montenegrin population; Pilot survey on structure of agricultural holdings; Survey on structure of family agricultural holdings; Pilot survey on crop production in PROGRAM IMPROVEMENTS Application for survey Use of ICTs in enterprises was updated; Application was updated for statistical surveys on: municipal waste, waste generated in industry, waste generated in agriculture, waste generated in construction, waste generated in service activities, waste quantities transported to the dump fill, and waste collection and treatment. 25

27 6. STRENGTHENING COORDINATION ROLE OF STATISTICAL OFFICE IN STATISTICAL SYSTEM One of the main aims of Montenegrin statistical system is its integration in the European statistical system. When starting negotiation procedure for entering the EU, Montenegro obliged itself to harmonize the statistical system with the EU acquis. Aligning with the EU acquis is the main step in the negotiation process, but it only represents the first step in achieving the aim. A full integration represents not only alignment with the acquis, but strong networking that should be built between National statistical institutes - NSIs and members states and Eurostat, and in this manner to become a part of the system EUROPEAN INTEGRATION AND INTERNATIONAL COOPERATION In the European integration process, Chapter 18 Statistics was assessed for the first time in the progress report of European Commission for 2015, in line with new assessment methodology where Chapter 18 Statistics is one of 5 pilots of Chapter assessed by new reporting methodology. Chapter 18 Statistics was assessed from two aspects, one of which refers to the assessment of one country s readiness to become a member country and the other aspect refers to the achieved progress. For 2016, Chapter 18 Statistics received an assessment some progress and some level of preparation. In the progress report two recommendations of European Commission are given: 1. Considerably strengthen the human and financial resources of the Statistical Office of Montenegro; 2. Further align its statistics with ESA 2010, including government finance statistics. Statistical Office organizes regular meetings of working groups for Chapter 18 - Statistics at the quarterly level, to discuss current situation in all domains of official statistics and to define future activities in the European integration process, with a special accent on final benchmarks for closing chapter defined by joint negotiation position in September Statistical Office actively participates in the harmonization process of other chapters where Statistical Office possesses representatives. Statistical Office is a member in total 14 working groups of other negotiation chapters: 1. Chapter 2 Freedom of movement for workers; 2. Chapter 11 - Agriculture and rural development; 3. Chapter 12 Food safety, veterinary and phytosanitary policy; 4. Chapter 13 - Fisheries; 18 COMMON POSITION, Negotiating chapter 18 Statistics, page 11 26

28 5. Chapter 16 - Taxation; 6. Chapter 17 Economic and monetary policy; 7. Chapter 19 Social policy and employment; 8. Chapter 20 Enterprise and industrial policy; 9. Chapter 22 Regional policy and coordination of structural instruments; 10. Chapter 25 Science and research; 11. Subgroup for Chapter 27 - Environment; 12. Chapter 29 Customs union; 13. Chapter 30 External relations; 14. Chapter 33 Financial and budgetary provisions. Under Montenegro s Programme of Accession to the EU for period, Statistical Office has defined legislative, strategic, and administrative framework from the aspect of existing situation and future plans in the mentioned period. Montenegro s Programme of Accession to the EU also implied the assessment of relevance for new Celex numbers given to Montenegro under Chapter 18 - Statistics. In 2016, Chapter 18 - Statistics, there were given 284 new Celex numbers for which there was defined responsible institution and relevance for Montenegro. During 2016 the cooperation continued with International Labour Organization - ILO, UNICEF, The United Nations Economic Commission for Europe - UNECE, Organisation for Economic Co-operation and Development OECD, and World Bank in different statistical domains. Statistical Office actively cooperates and strengthen the cooperation with statistical system in region. Based on experience and results achieved in statistical areas, during 2016 there were organized two study visits. Upon initiative of Federal Statistical Office of Bosnia and Herzegovina, there was organized a study visit on the occasion of presenting information system used in Statistical Office, and there has been started a process of defining future cooperation between these two institutions. The second study visit was organized for the representatives of Statistical Agency of Bosnia and Herzegovina. The purpose of this study visit was the exchange of experience in filling the TransMonEE database and writing Country Analytical Report - CAR for needs of UNICEF. Statistical Office has a long tradition and experience in filling the mentioned database which contains the data for 13 institutions in Montenegro, and is recognized by UNICEF as a reliable partner in producing annual CAR on different topics important for this organization s work. 27