Statistical Methods, Standards and Guidelines
89 Methodology of data production Annual Gross Domestic Product of Tanzania is mainly compiled using production and expenditure approaches.
(i) Production Approach In this approach, GDP estimates at market prices are derived by summing up the gross value added at basic prices of each industry and adding taxes less subsidies on products. This approach is used for the compilation of all sectors except the government and the Central Bank.
(ii) Expenditure Approach Expenditure approach considers the income expenditure for th e purpose of consumption or capital formation. It is used in estimating GDP for the Government and the Central Bank. Not all products purchased by domestic buyer come from domestic production; some come from outside the country. Therefore, the GDP at marke t prices by this approach is derived by adding up the purchases that are made for final consumption, capital formation, and imports less export (net export).
Reference to applicable Standards and Classifications Annual Gross Domestic Product uses the Int ernational Standards of Industrial Classification (ISIC Revision. 3) which classifies economic activities into 15 categories namely; (A) Agriculture, Hunting and Forestry, (B) Fishing, (C) Mining and Quarrying; (D) Manufacturing; (E) Electricity Gas and Wa ter Supply; (F) Construction; (G) Wholesale and Retail Trade, Repair of motor vehicles, motorcycles, personal and household goods, (H) Hotels and Restaurants; (I) Transport, Storage and Communications; (J) Financial Intermediation, (K) Real Estate, Rent ing and Business Services (L) Public Administration and Defense; Compulsory Social Security; (M) Education, (N) Health and Social Work; (O) Other Community, Social and Personal Services.
5.9.2 QUARTERLY GROSS DOMESTIC PRODUCTS
Quarterly National Accoun ts (QNA) provides up -to-date information for monitoring economic
cycles and short term changes in the economy. It is also a requirement for Tanzania to graduate
from GDDS to SDDS.
Statistical Methods, Standards and Guidelines
90
Objectives of Quarterly Gross Domestic Product
(i) The main purpose of QGDP is to provide a picture of current economic development
which is more timely than that provided by Annual National Accounts (ANA), and is
more comprehensive and coherent than that provided by individual short -term
indicators.
(ii) Therefore, QGDP should be timely, coherent, accurate, comprehensive, and
reasonably detailed
Methodology The compilation procedures adopt the same principles, definitions, and structure as the Annual Gross Domestic product (GDP). Currently in Tanzania, only the production approac h is applied in the quarterly estimations. Compilation of quarterly GDP can either be done directly or indirectly depending on the data available. Indirect approach uses short term indicators within a framework of a statistical model to generate quarterly estimates.
Compilation of quarterly GDP can either be done directly or indirectly depending on the data available. Indirect approach uses short term indicators within a framework of a statistical model to generate quarterly estimates. Most of the data av ailable for quarterly compilations are on quantities of output, thus, the quarterly value added estimates by activity are mainly output -indicator based. QNA for Tanzania Mainland mainly relies on the indirect approach where quarterly Gross Value Added (GVA ) estimates are based on output indicators obtained from administrative records. In cases where more than one indicator is used, a weighted index is generated using base year weights.
Reference to applicable Standards and Classifications Quarterly Gross Domestic Product uses the International Standard Industrial Classification (ISIC Revision 3) which classifies economic activities into 15 categories namely; (A) Agriculture, Hunting and Forestry, (B) Fishing, (C) Mining and Quarrying; (D) Manufacturing; (E ) Electricity Gas and Water Supply; (F) Construction; (G) Wholesale and Retail Trade, Repair of motor vehicles, motorcycles, personal and household goods, (H) Hotels and Restaurants; (I) Transport, Storage and Communications; (J) Financial Intermediation , (K) Real Estate, Renting and Business Services (L) Public Administration and Defense; Compulsory Social Security; (M) Education, (N) Health and Social Work; (O) Other Community, Social and Personal Services
Statistical Methods, Standards and Guidelines
91 5.9.3 REGIONAL GROSS DOMESTIC PRODUCT/REGIONAL NATIONAL ACCOUNTS Refers to coherent, consistent and integrated sets of macroeconomic accounts and tables designed for a variety of analytical and policy purposes but compiled at regional level. In Tanzania Mainland, there are 25 regions and each region constitutes an economic territory used for the compilation of Regional National Accounts.
Objectives of regional gross domestic product
a. To measure the performance of each economic activity in the region. b. To measure the contribution of each economic activity in the economy. c. To compare economic performance among different regions in the country.
Methodology Regional National Accounts are compiled in accordance with International Standards (United National System of National Accounts (SNA) 1993. The following two approaches have been recommended for the 2001 revision of National Accounts.
Production Approach In this approach, GDP estimates at market prices are derived by summing up the gross value added at basic prices of each industry and adding taxes less subsidies on products. This approach is used for the compilation of all sectors except the government and the Central Bank.
Expenditure Approach Expenditure approach; considers the income expenditure for the purpose of consumption or capital formation. It is used in estimating GDP for the Government and The Central Bank. Not all products purchased by domestic buyer come from domestic production; some come from outside the country. Therefore, the GDP at market prices by this approach is derived by adding up the purchases that are made for final consumption, capital formation, and imports less export (net export).
Reference to applicable Standards and Classifications Regional National Accounts are compiled in accordance with International Standards (United National System of National Accounts ( SNA) 1993.
Statistical Methods, Standards and Guidelines
92 5.9.4 NATIONAL ACCOUNTS PUBLICATION This “National Accounts of Tanzania Mainland 1999 -2009” publication gives consolidated estimates of Gross Domestic Product (GDP) and other allied aggregates of Tanzania Mainland.
Methodology The methodologies used are based on the 1993 SNA. The following two approaches are recommended for the 2001 revision of National Accounts.
Production Approach In this approach, GDP estimates at market prices are derived by summing up the gross value added at basic prices of each industry and adding taxes less subsidies on products. This approach is used for the compilation of all sectors except the government and the Central Bank.
Expenditure Approach Expenditure approach; considers the income expenditure for the purpose of consumption or capital formation. It is used in estimating GDP for the Government and the Central Bank. Not all products purchased by domestic buyer come from domestic production; some come from outside the country. Therefore, the GDP at market prices by this approach is derived by adding up the purchases that are made for final consumption, capital formation, and imports less export (net export).
Reference to applicable Standards and Classifications
Tanzania Mainland uses the International Standards of Industrial Classification ( ISIC Revision 3)
which classifies economic activities into 15 categories namely; (A) Agriculture, Hunting and
Forestry, (B) Fishing, (C) Mining and Quarrying; (D) Manufacturing; (E) Electricity Gas and Water
Supply; (F) Construction; (G) Wholesale and Reta il Trade, Repair of motor vehicles, motorcycles,
personal and household goods, (H) Hotels and Restaurants; (I) Transport, Storage and
Communications; (J) Financial Intermediation, (K) Real Estate, Renting and Business Services (L)
Public Administration and Defense; Compulsory Social Security; (M) Education, (N) Health and
Social Work; (O) Other Community, Social and Personal Services.
Statistical Methods, Standards and Guidelines
93 6.0 STATISTICAL SERVICES
6.1 CENTRAL REGISTER OF ESTABLISHMENTS (CRE)
Introduction
The Central Register of Establishments (CRE) is a directory or a list of all operating establishments
in Tanzania Mainland. An establishment is defined as an enterprise or part of an enterprise that is
situated in a single location and in which only a single (non -ancillary) productive activity is carried
out or in which the principal productive activity accounts for most of the value added . The register
includes business entities operated by working proprietors and unpaid family workers or co -
operators.
It was established at the Bureau of Statistics (BOS) in 1978 when a Technical Committee was formed under the chairmanship of the Head of Industrial Statistics Section to harmonise the various registers which had existed then. The various registers were merged into one standard reg ister – the CRE.
The register was created after a need had been felt by BOS to have a permanent and standard register using the same codes classifying region, district, economic activities (using ISIC codes) and sector for all the Departments of the BOS. Since then the register has been updated and maintained by the National Bureau of Statistics.
Objectives and Use of Product The main objective of CRE is to be used as sampling frame for different establishments based surveys. This implies that CRE shall cover all economic activities in the country.
Another use is to show statistical information on distribution of all economic units, employment by sector and geographical areas. This is very useful to planners and decision makers of the economy.
Also, several public institutions concerned with enforcement of employment laws and regulations find the register useful e.g. VETA, NSSF, PPRC, etc.
Statistical Methods, Standards and Guidelines
94 Outside NBS the following institutions are the major users of the register: Ministry of Labour for factory and ind ustry inspection. Income Tax department uses for income tax administration and verification. NSSF uses CRE for the administration of worker‟s social security.
Methodology of Data Production The main source of information is the National Bureau of Stati stics through its surveys like the Survey of Employment and Earnings, Large Scale Farms, Annual Survey of Industries, Hotel Statistics, etc.
Also, it has become evident that data on existing and operating establishments is collected through different sour ces like visiting the site, using Tax returns, Ministry of Labour, Ttelephone Ddirectories, Post Ooffice Directory, Pay As You Earn ( PAYE), News Papers, Municipalities and District Councils, Registrar of Companies, Transport Licencing Board, Board of Int ernal Trade, Regional and District Trade Officers.
Updating the CRE
CRE is being updated continuously throughout the year but a report is produced every June and
December each year. The updating activity involves adding new establishments when they sta rt
operating and delete the ones which are no longer in existence and nothing changes in the
establishments‟ characteristics . A Technical and Statistical Report on CRE is released annually,
starting with data from 1992.
Reference of Applicable Standards and Classifications The register consists of a list of a single line records. Each line as a complete record describing fully an establishment by region, district serial number in the district, the name and postal address, location, industrial code, ownership and number of employees of the establishment just to mention a few.
The location describes the physical area where the establishment is situated. The four digit industrial codes describe the main economic activity of the establishment. The codes are ac cording to the United Nations International Standard Industrial Classification (ISIC) of all economic activities. The sector code classify the establishments according to types of ownership i.e. Private, Parastatals, Governments, etc.
Statistical Methods, Standards and Guidelines
95 6.2 REGIONAL AND DISTRICT SOCIAL ECONOMIC PROFILES Introduction Regional and District Authorities are responsible for preparing Social Economic Profiles within their respective areas with technical support from the National Bureau of Statistics . The process of preparing such profiles includes compilation of social economic activities in the Region and Districts.
The profiles cover the location of region and district, area and all social economic development activities undertaken in the respective region or district. In socia l activities the profiles cover sectors like education, health, water and sanitation In economic activities there are sectors like agriculture, industry, trade, transport and tourism.
Main Objective and Use The main objective of Regional and District Soc ial Economic Profiles is to provide regions and districts with useful information for planning, policy formulation and appropriate decision making. The information enable s regions and or districts to identify areas of improvement and also to identify investment opportunities, available in the regions and districts.
Methodology Regional and District socio-economic profiles used secondary data from all sectors or departments of the district councils. Templates which cover all these sectors are prepared and d istributed to all heads of departments to be filled in. The filled in templates are then collected for compilation, processing, analysis and production of the report for the respective region or district.
6.3 TANZANIA SOCIO-ECONOMIC DATABASE (TSED) The T anzania Socio -Economic Database (TSED) is a comprehensive and up -to-date socio - economic database system. It is a powerful tool for organizing, storing and presenting data in a uniform way, allowing data to be easily and quickly shared across government dep artments, UN agencies and other development organizations. The database is compliant with International Statistical Standards and operates both as a desktop application (on CDs) as well as on the website (www.tsed.org).
Statistical Methods, Standards and Guidelines
96 Objectives and Uses of Products The main objective of TSED is to democratize access, use and dissemination of accurate data on a wide range of socio-economic indicators in a user-friendly manner, and thus:
a) Facilitates the systemization, storage and analysis of performance indicators in different thematic areas that are defined by users;
b) Allows for user-friendly analysis of data through tables, graphs and maps for inclusion in reports, presentation and advocacy materials
c) The system allows the creation of global, regional, national and local maps, with allowances up to 10 geographic levels;
d) Allows the grouping of indicators in different frameworks, sectors and sub-sectors, by themes (poverty disparities etc), by institutions, by sources, by international commitments and goals;
e) Provides updated time series data as well as multiple estimates from various sources, disaggregated data to village level, by sex and urban/rural strata whenever these are available; and
f) Allows the creation, modification and merging of indicator databases without the need for specialised programmes or technical support. The system contains the wizard that provides step by step orientation for these tasks.
Methodology of Data Production TSED is an indicator Database that stores data from various statistical reports published by NBS and other MDAs. Indicators available in TSED developed in collaboration with all MDAs within Tanzania Mainland and the data uploaded into TSED are from recognised official sources.
6.4 TANZANIA INTEGRATED STATISTICAL DATABASE (TISD) The NBS library is supported by the Tanzania Integrated Statistical Database (TISD) established in 2003. The TISD comprises a large computer network within the NBS where data is stored. The main objective of TISD is to have a “one stop shop” for datasets (in soft and hard copies) and other documents published within and outside the country, thus provide policy makers, administrators,