Page 399 - Special Topic Session (STS) - Volume 3

STS552 Norhayati Razi

Compilation of sectorisation and information
granularities
on portfolio investment statistics
Norhayati Razi
IIP and EDS, Statistical Services Department Central Bank of Malaysia

Abstract
Given the rapid growth in international financial flows as well as increasing
interest by policy makers and market analysts on cross-border portfolio
investment, the Central Banks in their dual role as compilers and users of
statistics faced numerous challenges in compiling the statistics. For portfolio
investment in reporting economies, difficulties to obtain accurate information
arises when the securities are not fully settled through domestic custodians.
On the other hand, collecting information on portfolio investment abroad
could hampered by insufficient details as well as constraints imposed to limit
the reporting entities’ reporting burden. This presentation is to share
experience in portfolio investment data compilation through an integrated
approach, particularly the benefits of subscribing to IMF’s centralised
securities database on International Securities Identification Number (ISIN)
information.

Keywords
quarterly IIP survey, portfolio investment statistics, international financial
flows, information granularities, reporting burden.

1. Introduction
External sector statistics in Malaysia is compiled jointly by Bank Negara
Malaysia (BNM, the Central Bank) and the Department of Statistics, Malaysia
(DOSM, the national statistics office), through the formal institutional
arrangement and the Memorandum of Understanding (MOU) signed between
the two agencies. Each institution carries out its respective roles and
responsibilities, guided by the MOU and the legal frameworks, namely the
Central Bank of Malaysia Act, 2009 (CBA 2009) and the Statistic Act 1965.
These legal provisions provide clear guidance for the compilation and
dissemination of external sector statistics. While DOSM focuses on the
compilation of Current Account data items, the Central Bank leads on the
compilation of Investment Income and Financial Account through the
quarterly International Investment Position (IIP) Survey. In terms of
dissemination of official statistics, DOSM is the official compiler of the balance
of Payments (BOP), IIP, and Coordinated Direct Investment Statistics (CDIS),
while the Central Bank is the official compiler of the External Debt Statistics

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