CPD questions government data accuracy

An inaccurate and untimely disclosure of fiscal data is constraining the implementation of national budget, thereby depriving the marginalised community of receiving the required government support, the Centre for Policy Dialogue (CPD) has found in its study.

The CPD observed that it would be worthwhile to publish monthly reports on project-wise Annual Development Programme (ADP) expenditure, social protection and subsidies.

The think-tank unveiled the findings in its study titled “Fiscal Data in Bangladesh: Issues and Challenges” launched at a virtual dialogue styled “Challenges of Improving Fiscal Data for Policymaking in Bangladesh” on Thursday.

According to the study, improvement in the area of fiscal data would require considerable political will and a change in the mind-set of core actors.

It is to be realised that a timely disclosure of accurate fiscal data can only improve implementation of budget and attainment of the national development objectives.

The accuracy of the data has been repeatedly brought under scrutiny since different sources publish different figures for the same indicator, the study showed.

The source-wise comparison has revealed that the Bangladesh Bank has the most updated monthly data while the Ministry of Finance has the least updated monthly data pertaining to Fiscal Year 2022.

The expenditure domain (operating, development and other) is relatively lagging behind in terms of agility, as per the study.

While addressing the dialogue CPD Chairman Rehman Sobhan hypothesised that the quality of data would be maintained if the generated data is derived from the needs of the primary data users, i.e., policymakers.

“However, the majority of demand for change in data quality comes from outside the government, which is a critical weakness, as the driver of change should be from within the government,” he said.

Senior Research Fellow of CPD Towfiqul Islam Khan presented the keynote paper on the findings.

The study report stressed improving data accountability, ensuring good governance and supporting budgetary decision making in the country through timely disclosure of quality fiscal data.

It also apprehends that due to a lack of availability of timely fiscal data, the government cannot adequately utilise the available fiscal space.

As a result, the government may be forced to pursue a relatively conservative attitude in extending budgetary allocations for cash transfer and subsidy to combat the Covid-19 pandemic and rising commodity prices.

CPD Distinguished Fellow Debapriya Bhattacharya Chaired the virtual session.

In his remarks, Debapriya reemphasised that the fiscal data has a critical role not only from the perspectives of accountability and transparency for the development process of the country but also for policymaking.

He said the prevailing dearth of timely delivery of quality fiscal data as per the demand may have emerged from several sources, including lack of awareness, capacity, urgency for sustainability, and absence of procedure and application.

“A political stimulus would be required to bring positive changes to this end,” observed the CPD distinguished fellow.

“The issues and challenges are not about fiscal data but rather statistical data,” said Saber Hossain Chowdhury, chairman, Parliamentary Standing Committee on the Ministry of Environment, Forest and Climate Change.

Data revolution is a key prerequisite for achieving sustainable development goals, and there is lack of data accessibility and transparency as well, according to the law maker.

The data producers either do not want to share or don’t have a systematic way of data collection, he noted, adding that as an elected representatives, the lawmakers need to have access and take cognisance of data so they can provide more useful and precise opinions and solutions.

Zahid Hussain, former lead economist, World Bank, Dhaka, mentioned that data regarding the state-owned enterprises is crucial and reformation is needed in this regard.

“Moreover, providing reports in a PDF format is akin to still maintaining a paper-based system. Therefore, we need to utilise excel-based platform to make data not just available but user friendly,” he suggested.