Statistics to be looked into more closely by EU

The European Commission has adopted a draft regulation in order to improve budgetary statistics. This is the latest initiative to get national statistics in better order across the 25 member states, following revelations by the Greek government that it had flaws in its statistics for the past three years with a budget deficit much bigger than officially reported.

The new draft regulation, (which still has to be adopted by the member states), provides that Eurostat - the European Union's statistical office - will be able to carry out in-depth monitoring visits in the member states, on top of its regular missions, to verify the reported fiscal data.

The proposal also generally enshrines, (in a current legal text), best practices with regard to the compilation and reporting of data in the context of the excessive deficit procedure.

The Maltese National Statistics Office is already regarded by the EU as 'very satisfactory', so much so that a spokesman for Eurostat told The Sunday Times that "we are very satisfied with the level of independence, integrity and accountability of the Maltese statistical office, which was demonstrated on several occasions."

He added that Eurostat was "especially impressed of the transparency of the statistical information sent to us by the Maltese."

Eurostat's spokesman said that the new regulations would help all the member states to assure themselves that things are being done well in all the 25 countries.

The Commission's proposed regulations on the quality of the statistical data, in the context of the excessive deficit procedure, aims to provide a legal base for existing best practices on the compilation and reporting of data. This will provide a more systematic approach to monitor the data by allowing for in-depth monitoring visits.

The regulations should bring more transparency, and consequently more accountability, to the whole process, at both member state and Commission levels.

The proposal foresees, for example, the publication by the member states of the reported data and of the inventories with sources and methods used to compile the accounts - as well as the mission reports.

The in-depth visits would allow Eurostat to monitor the processes and accounts which justify the reported data. It will also draw detailed conclusions, compliancy with accounting rules and overall quality of the reported data.

Eurostat officials may be assisted by national experts, (including from other member states), as well as officials from other Commission departments. Member states, on the other hand, should ensure that their services, directly or indirectly involved in the production of government accounts, provide the mission officials with the necessary assistance.

The first debate between member states on the new Commission proposals will take place this week at the meeting of the EU's finance ministers. Malta will be represented by Parliamentary Secretary, Tonio Fenech.