Overview of the current status of
classifications work in the region
Based on the survey for the workshop
and findings of Global Assessments
March 2013
UNECE Statistical Division
1
Background
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Close cooperation with the Interstate Statistical
Committee of the Commonwealth of Independent States
(CISSTAT) in developing the system of national
classifications
CISTAT has provided training, expertise, and translations
of classifications in Russian
Several NSOs have benefited from EU TACIS
programmes and related programmes also in
classifications
A number of EU countries have provided bilateral support
with classifications, changes of classifications,
backcasting and data linking
March 2013
UNECE Statistical Division
2
What are global assessments?
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Carried out with Eurostat and EFTA
To provide a clear picture of the state of development of
official statistics in a country
To help the national authorities to better programme
development of statistics
To help international donors to programme statistical
cooperation
To assess the technical aspects of the statistical system
in the country
To assess compliance with international standards, such
as classifications
March 2013
UNECE Statistical Division
3
Recently published global
assessments
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2008 Kazakhstan (year when published)
2009 Armenia
2010 Azerbaijan
2012 Kyrgyzstan
2012 Ukraine
2013 Belarus
2013 Georgia
2013 Moldova
2013 Tajikistan
March 2013
UNECE Statistical Division
4
Armenia – classifications used
o Classifications currently in use:
o
o
o
o
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Changeover to NACE Rev.2 began in 2007
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NACE rev.2 approved in 2009
CPA approved and used since 2011
ISCO approved in 2009, COICOP approved in 2012
FEACN applied since 2007 (Foreign Economic Activity
Commodity Nomenclature, rev. 4)
COFOG, ICSE-93 and ISCED-97 in use
Previously NACE Rev.1 and OKED-2 of CISSTAT at 5-digit level
NACE Rev. 2 in the BR from 2010 and NA from 2012
PPIs moved to CPA (from CIS classification) in 2009
March 2013
UNECE Statistical Division
5
Armenia – issues/challenges
o Extension of the glossary of terms on classifications and
the related metadata
o The small number of experts dealing with classification
issues
o Absence of a clear program for training of experts and
users – consultant support needed
o Translation of the detailed description of goods into the
national language
o Time series usually re-calculated 1-2 years back,
depending on available resources
March 2013
UNECE Statistical Division
6
Armenia – GA assessment in 2009
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Making good progress in implementing international
classifications into national system of classifications
Classification systems used are broadly consistent with
international guidelines
Implementation of CPA 2008 should be accelerated
Improved user communication
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More frequent and regular information on changes in
classifications
Need for methodological training on classifications and their
use
March 2013
UNECE Statistical Division
7
Azerbaijan – classifications used
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The Law on Official Statistics: obligatory for institutions,
enterprises, and organizations to use international
classifications for the exchange of information
NACE used in business statistics since 1997
o
o
NACE Rev. 2 implemented as of 2010 (IFNT 2008)
National product classification int. comparable since 2000
o
o
Now in use MNT 2009 = CPA 2008
List of industrial products SMST 2009 = PRODCOM (since 2010)
COICOP in use since 2002
 National Classification of Employment is based on ISCO-88
o A number of correspondence tables have been prepared
o Now revising explanatory text for the product classification and
preparing transition keys between HS – SITC rev4 – BEC
o
March 2013
UNECE Statistical Division
8
Azerbaijan – issues/challenges
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Up-to-date classifications used
NSO has organized workshops on the application of
classifications for respondents and tax authorities
The assignment of NACE-codes to enterprises is a
responsibility of the Ministry of Taxes
NSO monitors NACE coding by quality surveys
(carried out in 2004, 2006 and 2008 etc.)
We should aim at the fullest compliance of product
classification with the classification of activities!
March 2013
UNECE Statistical Division
9
Azerbaijan – GA assessment in 2010
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The classification system is in line with international
standards and recommendations
Further activities are foreseen for improved and more
efficient use of classifications
A database on classifications is available to all
respondents for downloading any classifications
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Adding search tools and explanatory notes was recommended
March 2013
UNECE Statistical Division
10
Belarus – classifications used
o National Classification based on NACE 1.1
→ towards NACE Rev. 2 (now in SBS, in BR 2013)
o National Classification based on CPA 2002
→ towards CPA 2008
 Standard International Trade Classification (MSTK rev.
4/SITC rev. 4)
 Commodity Nomenclature of Foreign Economic Activity of
the Customs Union (TN VED TC/FEACN CU), based on
GS 2007/HS 2007
 (KFOGU) COFOG, (KIPC) COICOP and (MSKO-97)
ISCED-97 and (MSKZ) ISCO-88 also used
 International Statistical Classification of Diseases and
Related Health Problems (MKB-10/ICD-10)
March 2013
UNECE Statistical Division
11
Belarus – coordination
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Several institutions are responsible for classifications:
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Belstat, the State Committee for Standardisation (Gosstandart),
the Ministry of Labour and Social Protection, the Ministry of
Education, and the State Committee on Property
A uniform approach to developing classifications:
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Agency responsible for the development and maintenance of a
national classification prepares a new version and sends it to all
stakeholders for agreement
After it is agreed, Gosstandart adopts a resolution
Belstat takes a decision on its use in statistical practice
Belstat generally initiates the implementation of a new
classification in economic practice as well
March 2013
UNECE Statistical Division
12
Belarus – issues/challenges
o
o
o
o
o
o
o
o
o
Adapting NACE and CPA to national circumstances, product
standards and laws
Need to harmonize the use of classifications within the government
Lack or late receipt of methodological materials in Russian
Methodology questions with certain activities (e.g. services, tourism)
Guidance needed on recalculation of 6-10 years by using coefficients
and on the surveys for calculating the coefficients
Coding enterprises in BR, when micro-data is missing for earlier
classifications
Determining the value added for the individual stages of a vertically
integrated process
Specific questions about classifying certain activities or products
Consistency needed for product and activity classification
March 2013
UNECE Statistical Division
13
Belarus – GA assessment in 2013
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National classifications are based on international and
interstate classifications taking into account national
circumstances
Strengthen the coordination role in developing new versions of
classifications for state statistical activity
Move as quickly as possible to classification of economic
activities NACE rev. 2 to ensure comparability
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In business surveys for statistical year 2012 both the current and the new
versions Economic Activity Classifications are used simultaneously
March 2013
UNECE Statistical Division
14
Georgia – classifications used
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o
o
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o
o
o
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The Charter of the NSO: among its objectives is to create and
implement statistical classification systems
NACE rev 1.1 and national 5-digit level (GNC 001-2004) in economic
and business statistics, prices, wages and agricultural statistics
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Public administration widely applies NACE
CPA (1996) is used as the adapted national version (CPA 002-99)
COFOG is used for statistics on the government sector
HS (2012), SITC rev.2 and BEC rev.2 and national extension used in
external trade statistics
ISCO-88, ICSE-93, ISCED-97
COICOP is also used for statistics on household consumption
(consumer prices, household survey)
The International Statistical Classification of Diseases and Related
Health Problems, 10th Revision is in use
March 2013
UNECE Statistical Division
15
Georgia – issues/challenges
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No unit in charge of classifications, IT Division maintains a database
Notable time lag in updating classifications – due to resources
o
o
o
o
o
Economic surveys are non-mandatory: trade-off between needed
information and quality that can be achieved
Institutional independence of Geostat and official adoption of
classifications (now going through the government)
Involvement of other agencies: scope, extent and coordination
Geostat has launched a working group on NACE and the changeover
will be advanced in cooperation with Statistics Sweden
o
o
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Ongoing revisions: NACE rev. 1.1 → rev. 2, ISCO-88 → 08, CPA later
Implementation in BR and business statistics’ survey to start in 2014,
followed by national accounts in 2015 – recalculation for 3-5 years back
How long to keep both versions of NACE? Recoding 1-to-1 / 1-to-many?
The transition will be a good chance for updating NACE codes
The website offers limited information on classifications
March 2013
UNECE Statistical Division
16
Georgia – GA assessment in 2013
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The changeover to NACE rev.2 should be accelerated
The stepwise transition to NACE rev.2 has to be planned carefully
throughout all divisions of Geostat
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Coherence in using classifications across the national statistical system is
a crucial issue for comparability of related statistical results
A timetable for the changeover has to be agreed among all producers
of official statistics and users of the NACE codes
The transition plan has to cope with changes in data collections,
adaptations in compilation practices
Training in understanding and using NACE rev.2 should be offered in
particular to other producers of official statistics
A classification database as well as correspondence tables would
support harmonised application of classifications
Metadata should be presented which explain the classifications and
guide their use
March 2013
UNECE Statistical Division
17
Kazakhstan – classifications used
CPA 2008 used since 2009 (CPA in general since 2002)
o In 2009, surveys revised according to NACE rev. 2
o
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o
NACE Rev. 2 codes to BR in 2008 (NACE Rev. 1.1. since 2004)
As of 2010, data collected for SBS, sectoral statistics and NA in NACE
Rev. 2 and CPA 2008
COICOP used for the Household Budget Survey, Price
Statistics and Purchasing Power Parities (enhanced 8-digit)
o In the context of 2008 SNA, in 2012 approved:
o
o
o
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Classification of financial assets; and that of nonfinancial assets
COFOG, COPNI, etc.
ISCO-88, ICSE, ISCED-97 are used
For exports and imports "Commodity Nomenclature for Foreign
Economic Activity of CIS Countries" in line with HS and CN
Uniform Budget Classification consistent with the GFSM 1986
March 2013
UNECE Statistical Division
18
Kazakhstan – issues/challenges
Detailed description of international and national statistical
classifications available in Russian
 New classifications usually implemented in less than 2 years
o Time series for 1998-2009 recalculated in 2011-2012,
recalculation of 1990-1997 is planned for 2013
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o
Based on both micro-data and conversion coefficients
What is the difference between classes 64.20 "Activities of
holding companies" and 70.10 "Activities of head offices“?
o Explanations needed for subtypes of CPA 2008 classification
o
For example, production of alcohol from edible raw material with alcohol
concentration of over 80% was in the old CPA included in food industry,
but the CPA 2008 includes this in chemical industry (code 20.14.74)
o As a result, all factories for the production of alimentary alcohol were
moved from food industry to chemical industry
o
March 2013
UNECE Statistical Division
19
Kazakhstan – GA assessment in 2008
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Many classifications of the European Statistical System
introduced
It would be important to set up a classification server for
the statistical production process
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Often classifications used in administrative registers differ
from international classifications
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It should include the present classifications, the former
classifications, transition keys, links between the classifications
and links to other administrations that shall help to support a
nation-wide harmonization of classifications
The server could possibly be used by other public agencies
Interaction with register keepers could help
Transition to new classifications needs time and
resources – and training of staff
March 2013
UNECE Statistical Division
20
Kyrgyzstan – classifications used
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A web page on national and international classifications
The main computing center has the task of harmonizing
classifications
National classifications are used e.g.:
o
o
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o
BR is dual coded in GKED 2 and 3, recalculating series
o
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State Classification of the Kyrgyz Republic Types of Economic Activity
(GKED, version 3) in line with NACE (since 2011) and using CIS-STAT
classification as a model
State statistical classification of products (GSKP) based on CPA and
PRODCOM (since 2012)
State Classification of Individual Consumption by Purpose (KIPTS)
Planning a release in the new GKED in the second half of 2013
Internationally consistent classifications: ICSE, ISCO, ISCED and
COICOP
March 2013
UNECE Statistical Division
21
Kyrgyzstan – issues/challenges
o
Some challenges in classifying units to
particular sectors of the activity classifications:
o
o
o
10.51 Dairies and cheese
11.07 Soft drinks, production of mineral water and
other bottled water
13.99 Manufacture of other textiles
The more detailed new classification has led to
a significant increase of work
o Encountered various problems and
inconsistencies in the transition between the old
and the new version of product classification
o
March 2013
UNECE Statistical Division
22
Kyrgyzstan – GA assessment in 2012
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In general classifications used are consistent with
international standards
Some national classifications, e.g. the classification of
products and that for occupations should be updated to
new versions
Recent efforts in further harmonizing national
classifications internationally are important
Update to NACE rev.2 will be necessary
More metadata about the methods and classifications are
needed
Coverage of all business activities across NACE requires
improvements, especially for small businesses
March 2013
UNECE Statistical Division
23
Moldova – classifications used
o
NACE rev.2 (CAEM rev. 2) came into force on January 1st 2010
o
o
o
o
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Dual coding of the SBS survey -> SBR -> SBS & STS statistics
Annual surveys in 2013 in NACE rev. 2 and monthly in 2014
Adoption of the CSPM classification (CPA 2008) in 2013
Adoption of PRODMOLD (PRODCOM ) in 2013
COICOP and ISCO in use
Statistical regions in line with NUTS to produce regional GDP by 2014
National Accounts sectorization internationally comparable
Comprehensive documentation on classifications is published
COFOG not yet implemented, but the existing classification, used by
the Ministry of Finance, is not significantly different
SITC and the Combined Nomenclature of Goods (HS/CN) are used in
foreign trade statistics, but coordinated by the Ministry of Economy
ISCO is coordinated by the Ministry of Labour, and ISCED by the
Ministry of Education together with the NSO
March 2013
UNECE Statistical Division
24
Moldova – issues/challenges
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o
o
o
o
The Division of Statistical Infrastructure, with 10 staff members, is
responsible inter alia for the development, implementation and
maintenance of statistical classifications
Not enough financial resources for special additional survey to support
recoding of units in the new classification
o Uses existing surveys for SBS and bookkeeping reports, estimates
Problems in keeping time series consistent (back-casting)
How many years back to take data in a new classification in:
• Statistical business register, structural business statistics, short
term statistics, national accounts
Which methods are considered best for calculating previous years in
the new classifications in:
• Statistical business register
• Structural business statistics
• Short-term statistics
• National accounts
March 2013
UNECE Statistical Division
25
Moldova – GA assessment in 2013
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Making good progress in implementing international classifications
Classification systems used are broadly consistent with international
guidelines
Implementation of NACE rev. 2 as planned in 2013 is strongly
supported by the assessment
Implementation of CPA 2008 should be targeted as soon as possible
The NSO should coordinate all classifications used in statistics
Clear procedures for updating the economic activities of entities (who
is responsible, which sources can be used, when is information
available) must be developed and implemented
March 2013
UNECE Statistical Division
26
Mongolia – classifications used
o
o
o
o
o
International Standard Industrial Classification (ISIC) rev.4
o Improved official adoption in 2011
o Time series recalculation for 1990-2013 in 2011-2013 using dual
coding and coefficients with benchmarking
o BR dual coded based on conversion tables and surveys
o In STS use of dual coding planned for 2013
Central Product Classification (CPC 2.0)
Classification of Individual Consumption According to Purpose
(COICOP)
Classification of the Function of Government (COFOG)
Classification of the Purposes of NPISH (COPNI)
March 2013
UNECE Statistical Division
27
Mongolia – issues/challenges
o
o
o
o
o
o
o
o
o
o
Different types of outsourcing and interpreting the ownership principle
cause problems
Section J ”Information and communication” is problematic
New terminology: holding company, head office, ancillary units, R&D
and intellectual property
Problems in linking some of the ISIC 3.1 groups to ISIC 4
Develop survey questionnaires for new sectors and updated sectors
Update previous time series, recalculating process
Usage of newly updated classifications
Update CPC at a more detailed level
Manufacturing service index for GDP and other NA’s estimations
Mining support service activities for GDP and other NA’s estimations
March 2013
UNECE Statistical Division
28
Russian Federation – classifications used
o
o
o
o
NACE rev. 1.1 used since 2007 (NACE Rev. 1 since 2001)
o Project for a changeover to NACE Rev. 2 on-going in 2013
o National NACE Rev. 2 extended to 6-digit level
OKPD = national classification of types of economic activities,
products and services in line with CPA 2002 used since 2007
o Project for a changeover to CPA 2008 on-going in 2013
o National CPA 2008 extended to 8-digit level
Russian classification of occupations (OKZ-93)
o Project for a changeover in line with ISCO 2008 in 2014
COICOP, the classification of institutional units (SNA-93) and the
national classification of speciality by education (OKSO-2003) are also
used
March 2013
UNECE Statistical Division
29
Russian Federation – issues/challenges
o
o
o
o
o
o
To agree on classifications with the relevant ministries and implement
changes to legal acts
Examine, adopt and implement the new versions of classifications
Review changes needed in statistical tools
Recording of new codes in BR
Creation of transition keys
o NACE Rev. 1.1 and 2
o CPA 2002 and 2008
The NSO will stop applying, by 1 January 2015, NACE Rev. 1 and
NACE Rev. 1.1, (OKDP) national classifier of types of economic
activities, products and services, (OKUN) classifier of services
rendered to the public, (OKP) products classification and (OKPD)
product classification derived from CPA
March 2013
UNECE Statistical Division
30
Tajikistan – classifications used
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o
o
o
o
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The Methodology and Classification Department is in charge
ISIC 3.1/NACE 1.1 used in economic and business statistics
o In BR since 2000, dual coding available
o In SBS since 2010
o Common Classification of Economic Activities (CCEA rev. 2), which
structurally corresponds to NACE rev. 2, was developed in 2010
o Implementation Plan for CCEA rev. 2 was developed
Draft Classification of main products (9-digits) harmonized with CCEA
rev. 2 was developed
Population census applies ISIC 4/NACE rev.2, and the CIS-STAT 1993
recommendation on statistical classifiers and ISCO-88
The economic census of 2010 applied ISIC 4/NACE rev.2
COICOP, COFOG, HS, ISCO-88, ICSE-93 and ISCED-97 are in use
International Classification of Diseases (ICD-10) in the vital register
March 2013
UNECE Statistical Division
31
Tajikistan – issues/challenges
o
o
o
o
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Long delays in changing to new versions of classifications hamper
international comparability > causeS challenges for the coherence
Resources are needed for updating classifications of economic
statistics to NACE Rev.2 and CPA 2008
o lack of qualified professionals > training for producers and users
o lack of funding
Difficulties with recalculation of time series > 2 years will be calculated
Lack of Russian translations of International classifications
Coordination within TAJSTAT and with other producers
There is no specific unit in charge of the Statistical Business Register
Small production entities, individual entrepreneurs and informal
economy are not well covered
March 2013
UNECE Statistical Division
32
Tajikistan – GA assessment in 2013
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In general the international classifications are followed
It is recommended that the NSO reinforces the role of the
Methodological and Classification, including in quality monitoring
International classifications should be implemented faster to maintain
comparability of statistics
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The use of the updated classifications should be planned without
delays for surveys and adjustment of data processing
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The national classification of economic activities (OKVED) was recently
revised to NACE rev 1.1 as of 2011, while NACE rev 2 would be available
but the national product classification is not yet up-to-date with CPA 2008
To maintain consistency this implementation should be well coordinated
throughout the NSO and with providers of administrative data
Some information on classifications is lacking, for example for CPI and
PPI. There should be a systematic approach to metadata.
March 2013
UNECE Statistical Division
33
Ukraine – classifications used
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Law on State Statistics: one of the main tasks of the
statistical bodies is to comply with international standards
National classifications are based on :

o
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o
o
o
ISCE, ISCO, ISCED
National Classification of Economic Activities was harmonized
with NACE (rev. 1.1) at the class level, now NACE rev. 2
National classification of individual consumption by purpose is
based on COICOP
National classifications in line with NACE rev. 2 and CPA
2008 in used as of 2011/2012
Nomenclature of industrial products based on PRODCOM
- additional 2 digits nationally since 2013
National customs classification of goods is based on HS /
CN - additional 2 digits nationally
March 2013
UNECE Statistical Division
34
Ukraine – issues/challenges
Coordination of the changeover to new classifications in
the statistical system
o Reducing response burden as the guiding principle
o All activities of the classification update were done using
existing tools and capabilities
o Some delay in updating the classifications, but a carefully
organized and programmed process across different
statistics
o Extensive user consultations were carried out and the
process was transparent to users during the
implementation
o
March 2013
UNECE Statistical Division
35
Ukraine – GA assessment in 2012
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Many statistical classifications up-to-date as compared to
international classifications – NACE Rev. 1.1 and CPA
2002 have now been updated
NSS was working towards NACE rev. 2 aiming at gradual
implementation by 2014
It is recommended to harmonize the Ukrainian
Classification of Foreign Trade in Goods with the latest
international classifications
Coverage of all business activities across NACE requires
improvements, especially for small businesses
Metadata on classifications available on the website
March 2013
UNECE Statistical Division
36
Uzbekistan – classifications used
o
National classification of economic activities, GCEA-2
o
o
Classifications of goods, services, assets:
o
o
o
o
o
o
o
o
Gradually implemented by 2014 in parallel – based on NACE rev.2
CPA, FEACN (CN), COICOP, NPP (national nomenclature of
industrial products), OKUVD (national classification of services),
KOF national classification of the main funds (fixed assets)
CPA2008 will be approved in 2013, implemented 2013-2015
COICOP 1999 – will come under review in 2014
Recalculations combining micro-data and coefficients
Classifications for population statistics: ISCO, ICD, ISCED
Regional nomenclatures: SOATO, Countries in the world;
Functional classifications of the SNA
Classifications of type of enterprise by the number of employed,
classification of small enterprises and microenterprises, etc.
March 2013
UNECE Statistical Division
37
Uzbekistan – issues/challenges
Action plan on the implementation of parallel calculations on
the basis of GCEA-2 for 2012-2015
o National methodological guidelines have been prepared for
GDP and IIP calculation in the new classification
o Parallel use in statistical calculations of both classifications will
be necessary for a long time
o Existing national classifications of industrial products and
services were too or not enough disaggregated
o
o
o
Correspondence tables are a necessity
Some difficulties in interpreting the new activity and product
classifications
March 2013
UNECE Statistical Division
38
Turkmenistan – issues/challenges
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
What kind of classification are used?
What are your main challenges with classifications currently?
Plans to implement new versions of international classifications?
March 2013
UNECE Statistical Division
39