Fiji s Tourism Satellite Accounts

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1 Asia-Pacific Economic Statistics Week Bangkok 2 4 May 2016 Fiji s Tourism Satellite Accounts Mr. Bimlesh Krishna Divisional Manager Economic Statistics

2 Fiji s Tourism Satellite Introduction The Tourism industry in Fiji has been rapidly growing and developing providing a major source for foreign exchange earnings and employment. In recent years, tourism industry has been the single largest foreign exchange earner. Given the growing importance of the industry, relatively little is known about the tourism industry as it is not captured explicitly in the Gross Domestic Product. The Tourism Satellite Accounts (TSA) compiled for Fiji, shows the impact of tourism on the economy through numerical measurement.

3 Tourist A tourist is any person travelling to a place other than their usual environment for less than 12 months. It should be noted that not all travellers, person moving from one place to another, are tourists. The following types of travellers are not considered tourists: 1. Persons such as travelling salespersons for whom travel is an intrinsic part of their job. 2. Persons who travel for the purpose of being admitted to, or detained in, a residential facility, such as hospital, prison or long stay care. 3. Persons travelling as part of a shift to a new permanent location. 4. Persons undertaking military duties. 5. Persons travelling between two types of their usual environment.

4 Tourist 1. International Tourist An international tourist is a person who travels to a country other than that in which they have their usual residence, and outside their usual environment. While travelling, they do not stay in any one place for more than 12 months. 2. Domestic Tourist Domestic tourists are Fijian residents who travel within Fiji but outside their usual environment. While travelling they do not stay in any one place for more than 12 months. There are 3 different categories of domestic tourists: Household Tourist Business Traveller Government Traveller

5 Fiji s Tourism Satellite History

6 TSA Tables for Fiji 1. Tourism Expenditure by type of tourist and product 2. Production Account by Industry 3. Sales by industry and tourism products 4. Tourism Product Ratio 5. Tourism Industry Ratio 6. Tourism Value Added 7. Direct Tourism Employment & Compensation of Employees 8. Gross Fixed Capital Formation

7 TSA Tables Step 1: Tourism expenditure by type of product and type of tourist is calculated in Table 1 and then carried on to Table 4.

8 Data Sources for Table 1 International tourism expenditure The main data source for international tourism is Fiji s Earnings from Tourism and Trade in Services release published by Fiji Bureau of Statistics supplemented by the Ministry of Tourism s International Visitor Survey (IVS). The expenditures are disaggregated/split using break down from the balanced supply and use table and IVS. Household tourism expenditure The Household Income and Expenditure Survey (HIES) provided household consumption expenditure data, generally at the required level. Government travel expenditure The supply and use table (SUT) provides the product level information for government travel. Business travel expenditure Business travel expenditure was extracted from SUT. The SUT estimates for business travel are built on the 16 annual establishment reports published by Fiji Bureau of Statistics.

9 Establishment Reports 21 Industries Annual Surveys Ad-Hoc Surveys 1. Agriculture 2. Forestry 3. Fishing 4. Mining & Quarrying 5. Manufacturing 6. Electricity 7. Water 8. Construction 9. Wholesale & Retail Trade 10. Transport & Storage 11. Information & Communication 12. Accommodation & Food Service Activities 13. Real Estate 14. Professional, Scientific & Technical Services 15. Administrative & Support Services 16. Public Administration 17. Health 18. Education 19. Financial Service Activities 20. Arts, Entertainment & Recreation 21.Other Services

10 Establishment Survey Processes Frame Questionnaires Reminders Data is received Data Processed Data Entry begins SAS (Statistical Analysis System) Table specs are created (Data Screen is prepared) Data is checked & clarified Estimate the nonrespondents Check results Prepare Report Check report for errors Senior Statistician - National Accounts Checks the report Senior Statistician - Surveys checks the Report Statistician checks the Report Prepare Analysis Divisional Manager Checks the report Deputy GS Checks the report GS Checks and approves the report Report is printed

11 Report Outputs Macro Aggregates

12 Report Outputs Composition

13 Report Outputs Composition

14 Report Outputs Composition

15 Economics Division Transition Surveys 2005 Base 7 Ad-hoc Surveys 7 Annual Surveys 4 Quarterly 2008 Base 8 Ad-hoc Surveys 11 Annual Surveys 5 Quarterly 2011 Base 3 Ad-hoc Surveys 16 Annual Surveys 5 Quarterly 2014 Base 3 Ad-hoc Surveys 16 Annual Surveys 5 Quarterly National Accounts Rebase after 9 years 1989 after 12 years 1995 after 6 years 2005 after 10 years 2008 after 3 years 2011 after 3years 2014 after 3 years Supply & Use Table 2005 with ADB 2008 with SPC 2011 in house 2014 will be in-house Input / Output Table 1 done by USP Quarterly GDP In the near future TSA 2002/2008/2011 Annual in the near future Prices 2005 Base Consumer Price Index Building Material Price Index 2008 Base Consumer Price Index Building Material Price Index Export & Import Price Index 2011 Base Consumer Price Index Building Material Price Index Export & Import Price Index Producer Price Index Goods 2014 Base Consumer Price Index Building Material Price Index Export & Import Price Index Producer Price Index Goods Producer Price Index Services

16 Supply & Use Table SUPPLY Gross Output Import USE Intermediate Cost Household Consumption Government Consumption NPISH's GCF Exports Source Survey Reports Customs & Survey Survey Reports HIES GFS Survey Reports Survey Reports Customs & Survey

17 Table 2: Output/VA Step 2: This table shows the components of GDP of the economy

18 Table 3: Sales Step 3: Total output of each tourism-characteristic and tourism-related industry presented in Table 2 is disaggregated into tourism products in Table 3. This gives the total supply of each industry classified by products.

19 Table 4: Tourism Product Ratio Step 4: The tourism product ratio for each product is summarized in Table 4. The ratios are obtained by dividing the value of total tourism expenditure (demand) from Table 1 by total supply from Table 3.

20 Table 5: Tourism Industry Ratio Step 5: Each industry s supply by product given in Table 3 was multiplied by the tourism product ratio to calculate the tourism supply by industry. Tourism supply in Table 5 was then divided by total output in Table 3 to give tourism industry ratios the proportion of each industry s total output that is purchased by tourists

21 Table 6: Tourism Value Added Step 7: The tourism industry ratios were multiplied through each industry s production account given in Table 2 to obtain total tourism value-added.

22 Table 7: Tourism Employment

23 Table 8: Tourism Gross Fixed Capital Formation

24 Billions Thousands Comparisons Tourism Expenditure & Visitor Arrivals Tourism Expenditure Visitor Arrivals

25 2011 Tourism Output Non-Tourism Output Tourism Output

26 2011 Value Added Comparison Tourism Industry Rank

27 Challenges 1. Out-dated International Visitor Survey 2. Further investigations need certain areas 3. Lack of Resources 4. Lack of Expertise

28 Thank you for your attention.

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