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Contents

Introduction

1 Methodology
1.1 The place of financial accounts in the system of national accounts
1.2 The relation between the financial accounts and other central bank statistics
1.3 Methodological requirements and principles
1.4 Content of economic sectors
1.5 Instruments of financial accounts
1.6 Data sources of financial accounts
1.7 Products and reporting of financial accounts
1.8 Applicability and limitations of financial accounts
1.9 The impact of methodological changeover on the data of financial accounts

2 Estimates used in the financial accounts
2.1 Estimation of the forint and foreign currency holdings
2.2 Estimation of foreign deposits and loans of households
2.3 Estimation of foreign equity holdings of households
2.4 Calculation of the data on domestic equities
2.5 Inter-company loans and trade relations in financial accounts
2.6 Special purpose entities (SPEs) in financial accounts
2.7 Statistical recording of the exits from private pension funds
2.8 Creation of data related to standardised guarantees
2.9 Financial derivatives in financial accounts
2.10 Statistical recording of EU funds

3 Analyses
3.1 Developments in key financial account indicators of economic sectors
3.2 Financial worth and financial savings of households
3.3 Financial accounts of the general government
3.4 General government deficit and general government debt
3.5 Financial accounts of non-financial corporations
3.6 Net borrowing from the rest of the world
3.7 Securities in the Hungarian economy

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Introduction

Purpose of the publication

Pursuant to the division of labour between the statistical agencies, the compilation of financial account statistics being part of the national accounts is in Hungary the responsibility of the Magyar Nemzeti Bank. Since April 2003, the bank publishes quarterly, with a quarterly time lag the financial account statistics of the national economy and certain sectors, on the financial worth and on the components of the changes of it. The Hungary's financial accounts 2005 publication was designed to draw the user's attention to the new statistics, which the central bank marked at once for summary, data bank and a tool aiding the analysis. The updated version of the publication published in 2008 renewed, updated the knowledge presented in the previous volume, and reviewed the developments and results of the past three years. In addition to carrying further the time series and analyses, the current publication reviews the impacts of the methodological changeover of 2014 on the statistics and takes a look at the financial accounts renewed and expanded based on ESA 2010.

Developments

The developments of the past years in the area of financial account statistics in the European Union grouped around the comprehensive methodological changeover of 2014. Through the renewal of the methodology, the detailedness of financial accounts significantly increased, special purpose enterprises and other entities performing special activities had been transferred from the non-financial corporations to the sector of financial corporations, new financial instruments and sectors had been created, the statistical recording of wealth transfers between pension funds and the state changed and the rules related to the establishment of general government deficit and debt. This publication reviews in detail the methodological changes which impacted the structure of the reports on the Hungarian financial account statistics, as well as the content of data and indicators. Linked to the methodological changeover there were also other developments in the statistics, which improved the data quality and the harmony between statistics. In the past year complete harmony was created between the central bank's balance of payments statistics, securities statistics and financial account statistics. Significant progress was made in the area of the observation of foreign financial instruments of households and of the more precise identification of inter-company financial relations.

Data updating

The information contained in this publication generally relate to the period between 1990 and 2014, and reflect the status of the financial accounts as of December 2015. In addition to own data collections and data receipts, the financial account statistics of the Magyar Nemzeti Bank relies vastly on statistical data sources and products of other central bank statistics, thus, the changes of all these modifies also the data on financial accounts. Accordingly, the disclosed data on financial accounts - primarily those relating to the last two years - may change in the subsequent publications. Therefore, it is advisable to cross-check the data included in the publication with the statistical data and time series published on the MNB's website and updated quarterly, and to use this latter in the case of possibly larger discrepancies.

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