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3.8 Statistical services
On 4 July 2020, the central bank issued a silver collector coin of HUF 10,000 and its non-ferrous metal version with a face value of HUF 2,000 to pay tribute the 175th anniversary of the birth and 100th anniversary of the death of Pál Szinyei Merse, a pioneering, seminal figure in modern Hungarian painting.
On 14 July 2020, the MNB issued 2 million commemorative versions of the 10-forint and 2 million commemorative versions of the 20-forint circulation coin named ‘Respect for the heroes’ as an acknowledgement for our compatriots (those working in public health care, trade, public sanitation, and logistics) for their self-sacrificing work in fighting the coronavirus pandemic. These coins serve as a symbol of respect towards them.
On 2 September 2020, a new element was added to the series presenting national parks in Hungary. On the 45th anniversary of the establishment of the kiskunság National Park, which was the second national park established in Hungary, special, silver and non-ferrous metal collector coins with a standing rectangle shape and face values of HUF 10,000 and HUF 2,000, respectively, were issued as the fifth piece in this thematic series.
The 2020 commemorative coin issue programme continued with a unique issue. On 25 September 2020, for the 150th anniversary of the establishment of the Hungarian Meteorological Service, silver and non-ferrous metal collector coins with face values of HUF 10,000 and HUF 2,000, respectively, were issued by the central bank. The uniqueness of these commemorative coins is that they are the first square shaped silver coins issued in the more than half-century history of central bank issues, while the nonferrous metal versions are considered exceptional because of their large size.
On World Animal Day – 4 October 2020 – the MNB continued the non-ferrous metal commemorative coin series that depicts Hungarian shepherd and hunting dogs with the second piece of the series, the ‘komondor’ collector coin with a face value of HUF 2,000.
On the 30th anniversary of the Constitutional Court of Hungary, silver and non-ferrous metal collector coins with face values of HUF 10,000 and HUF 2,000, respectively, were issued by the central bank. The Constitutional Court was set up as one of the fundamental institutions of the democratic transformation in 1989–1990, i.e. the revolution of the rule of law. Its most important task has been the protection of the rule of law and fundamental rights. The central bank issued a silver collector coin ‘State Audit Office’ with a face value of HUF 10,000 and a non-ferrous metal version with a face value of HUF 2,000. These coins were issued on 21 October 2020, honouring the 150th anniversary of the establishment of the organisation and the 30th anniversary of the relaunch of independent audits by the State Audit Office of Hungary.
As the seventh piece of the series presenting national memorial sites, the brass collector coin ‘Debrecen, Reformed Great Church and College’ was issued with a face value of HUF 2,000 on 18 November 2020.
The MNB completed the 2020 commemorative coin programme by issuing silver and non-ferrous collector coins with face values of HUF 10,000 and HUF 2,000, respectively, to honour the 125th anniversary of the foundation of the Hungarian Olympic Committee. The special, silver collector coin with its golden edge and its non-ferrous metal version, both issued on 2 December 2020, also commemorate the outstanding results in the history of Hungarian sports, including the first Hungarian gold medals in Summer and Winter Olympics.
Following an intensive, two-year preparatory period, with the involvement of the credit institutions sector and the Hungarian Banking Association, a uniform central bank credit register reporting standard was formulated. This register conforms with the data collection models that represent a strategic direction internationally and contains micro data with a wide range of uses. In February 2020, the first reports of the central bank credit register (HITREG) data reporting, which contains individual-level credit data, were successfully received, and thus one of the most detailed data reporting of this type in Europe was launched.
The migration of data reports into the MNB’s new data collection system started during the year. As a result, credit institutions’ supervisory data supplies, the reports ordered by the EBA and certain statistical data are already received in the new, uniform system.
The renewal of the MNB’s statistical data releases continued in 2020. Accordingly, press releases and other publications are being gradually renewed, and the infrastructure handling the website is also becoming more modern.
For the purpose of fulfilling its duties as specified in the MNB Act, the central bank collects statistical information
and publishes the statistics thus compiled for the analysis of financial developments, the preparation of monetary policy decisions, oversight of the operation of the payment and settlement systems to ensure the smooth execution of payments with a view to supporting the stability of the financial system, and for the performance of micro and macroprudential supervisory activities.
The MNB publishes statistical information, analyses and time series on its website for the public, in accordance with the release calendar for statistics. In relation to the individual statistical areas, the MNB also issues methodological and thematic publications.
In 2020, the MNB issued five decrees related to data reporting in 2021. One of these primarily contains data reporting ordered for the fulfilment of the MNB’s basic tasks,61 supplemented by four decrees ordering data reporting primarily necessary for the fulfilment of supervisory tasks.62 In 2020, the effective 2020 MNB decrees related to data reporting were amended on four occasions during the year in view of the changes in the domestic legislative environment, the extraordinary situation related to the pandemic and – with 1 July 2021 as the date of entry into force – the new data requirements related to the central bank credit register (HITREG).63
Results of the MNB’s credit institution data collection projects
Following an intensive, two-year preparatory period, with the involvement of the credit institutions sector and the Hungarian Banking Association, the first reports of the HITREG data reporting, which contains individuallevel credit data, were successfully received in February 2020.
The examination of the data quality of the granular credit data base received every month and containing more than four hundred credit features is of key importance in terms of data utilisation. Therefore, in addition to the thousands of verification rules upon receipt, following the first data receipt, systematic verification of data quality started immediately in early 2020, with the involvement of the MNB’s business user areas that use the data. The HITREG data reporting introduced in 2020 will be expanded in several respects starting from 2021 Q3, with the amending decree issued in November 2020.64 Pursuant to the amendment extending the data reporting to groups of financial enterprises, in addition to credit institutions, the sector coverage of the debtors shown in HITREG is increasing, the report covers all loans with the exception of interbank loans, and is expanded to include analysts’ data needs set forth in the ESRB recommendation concerning the monitoring of real estate financing and with other analysts’ data needs. With support from the Hungarian Banking Association, the MNB provided wide-ranging information for the financial enterprises sector as well – just as it did for credit institutions.
Supervisory statistics
In 2020, both pre-planned and extraordinary tasks due to the pandemic were accomplished in line with the expectations.
Following several years of preparations, within the framework of the STAFIR project aimed at the integration of statistical and supervisory IT systems, the change-over to receiving supervisory data based on EBA implementing technical standard (ITS) provided by credit institutions and investment firms in XBRL format was successfully completed in October. Simultaneously with that, credit institution supervisory data collection was also taken over by the MNB’s new, integrated data collection system, with a large portion of the statistical data already migrated in the first half of the year.
Due to the pandemic, many extraordinary tasks arose requiring the co-operation of many organisations and short deadlines. The MNB introduced coronavirus-related extraordinary data reporting for various supervised sectors, and the guidelines elaborated by the EBA related to reporting in connection with the pandemic (EBA/ GL/2020/07) were also implemented within a short time.
In the case of the insurance sector, significant international work occurred within the framework of the 2020 review of Solvency II. The document summarising the findings of the review and containing the proposal of EIOPA was submitted
61 MNB Decree No 41/2020 (XI. 18.) 62 MNB Decrees No 42/2020 (XI. 19.), No 43/2020 (XI. 19.), No 44/2020 (XI. 20.) and No 45/2020 (XI. 20.) 63 The amendments concerned MNB Decree No. 32/2019 (XI. 25.) on data reporting obligations regarding certain data related to payment service provision for the central bank information system, MNB Decree No. 35/2018 (XI. 13.) on the data reporting obligations to the central bank’s information system in respect of certain data of credit transactions as well as the MNB decrees ordering data reporting for the fulfilment of the
MNB’s basic and supervisory tasks [MNB Decrees No. 37/2019 (XI. 19.), 38/2019. (XI. 20.), 39/2019 (XI. 20.), 40/2019 (XI. 21.) and 41/2019 (XI. 21.)]. 64 MNB Decree No 46/2020 (XI. 20.)
to the European Commission at end-2020. The work continued in 2021 with the transposition of amendment proposals regarding the ITS.
Changes in MNB publications
The press release on the MNB’s preliminary statistical balance sheet was first published in an interactive form in February 2020. During the year, the publication was expanded on several occasions in order to allow a better understanding of the impact of the MNB’s measures related to the pandemic on the balance sheet. In June 2020, the publication of investment funds was complemented with the detailed balance sheet data of the funds. As a result, the interactive publication contains the most detailed asset and liability data available from the MNB’s data collection, which had been obtainable only indirectly, from the data of other publications.
In February 2020, the MNB provided the new statistical data on the pension fund sector to the ECB, for 2019 Q4, for the first time. The report contains stock and flow data of domestic voluntary, private and occupational pension funds in line with the relevant regulation of the ECB.
Pursuant to MNB Decree No. 32/2019 (IX. 25.), data reporting with the new structure regarding payment service provision was received for the first time with a deadline of 30 October 2020. The significant widening of the data reporting spectrum was an extraordinary task for both the sector as a whole and the MNB during the year. The new structure of data collection and the ordering of data content that is more detailed than before ensures compliance with the expanding international reporting requirements, wider use of the collected data through the transfer of data to the HCSO and other domestic organisations as well as a deeper analysis of the general development trends in payments. The publication compiled of the data in the new structure was published on the MNB’s website on 15 December 2020.
Closer cooperation with the Hungarian Central Statistical Office
As a result of the pandemic, starting from the spring of 2020, the availability of administrative and statistical data sources necessary for the compilation of statistics became more uncertain, while demand for statistics on the state of the economy, the general government and the financial intermediary system increased. Realising this, the MNB intensified its cooperation with the HCSO. The deadlines related to the transfer of data required for the production of the quarterly national accounts and the balance of payments became shorter, data exchanges became more intensive and were complemented with additional information that help the two statistical authorities maintain the quality of statistical products as well as to satisfy new user demands.
In spite of the pandemic, the implementation of the third phase of the household wealth survey (Household Finance and Consumption Survey, What do we live from?) coordinated by the ECB and carried out in Hungary with the cooperation of the HCSO and the MNB progressed as planned. Households were successfully contacted and asked in the last four months of 2020, and the first results are expected by end-2021.
In 2020, the Hungarian statistical organisations became involved in the international renewal process of the system of national accounts (SNA) and the Balance of Payments Manual (BPM). The new standards are expected to be completed during 2024 and 2025, and will have to be applied in international statistics starting from 2029.
As follows from its status, the expectations arising from international cooperation and its membership obligations, the MNB regularly supplies data and information to the ECB, the Statistical Office of the European Communities (Eurostat), the European supervisory authorities (EBA, EIOPA), the Bank for International Settlements (BIS), the International Monetary Fund (IMF), the World Bank and the Organisation for Economic Co-operation and Development (OECD).
With a view to complying with the international recommendations and requirements and monitoring the changes therein, the MNB regularly participates in international forums related to the central bank’s statistical activity and plays an active role in the work of the international working groups dealing with methodological developments and current statistical issues.
Data quality, administrative inspections
As part of its continuous evaluation of compliance with the reporting requirements set forth in the MNB decree on data reporting, including timely fulfilment and adequate data quality, in 2020 the MNB imposed penalties for failures to meet the reporting requirements or for delays 49 times on 43 reporting entities (totalling HUF 14.3 million), in addition to the warnings and the resolutions imposing measures and notices.
