Speaker of the National Assembly: Our method of calculating GDP is very vague!

National Assembly Chairman Nguyen Sinh Hung stated that GDP is the most important statistical figure for the country, but the current method of calculation is vague, inaccurate, and difficult to understand.

National Assembly Chairman Nguyen Sinh Hung speaks at the review session of the revised Statistics Law project. Photo: VNA.

The above statement was made by the Speaker of the National Assembly on the afternoon of March 11th, when the Standing Committee of the National Assembly gave its opinion on the draft revised Law on Statistics.

According to Minister of Planning and Investment Bui Quang Vinh, the draft Law on Statistics (amended) stipulates a schedule for publishing statistical information as a basis for transparency in the publication and dissemination of statistical information. This also represents a commitment by statistical agencies to provide timely statistical information and to enable organizations and individuals using official statistical information to proactively access and utilize it.

Reviewing the draft law, the Chairman of the National Assembly's Economic Committee, Nguyen Van Giau, stated that it is necessary to clearly define the principles and methods of publishing statistical information to create transparency and facilitate access to and use of official statistical information for organizations and individuals.

The issue raised by the delegates was: What regulations ensure the accuracy of statistical information? Regarding this, Minister Bui Quang Vinh stated that this revised law will address the discrepancies in data by clarifying responsibilities and assigning the General Statistics Office the responsibility for a system of indicators.

On another aspect, Phan Trung Ly, Chairman of the National Assembly's Law Committee, raised the issue: The 2003 Statistics Law mentions official and unofficial statistics. However, this Law only addresses official statistics.

So, if unofficial statistics aren't regulated, who will manage them? This means the issue is being neglected. The representative cited the example of organizations publishing statistics on the number of viewers of reality TV shows to attract advertising. Who is responsible for these published statistics? The representative suggested that the amended law must address this situation.

Regarding the statistical organization system, the draft Law stipulates that the Ministry of Planning and Investment is the agency responsible for state management of statistics. However, there are currently three differing opinions on this issue. The majority opinion of the Standing Committee of the Economic Committee suggests that the central statistical agency should be under the Government to ensure transparency and objectivity in statistical activities, contributing to improving the quality of statistical information.

In addition, some opinions suggest that the Central Statistics Agency should be established by the National Assembly, operate independently, and be subject only to the law. Others agree with the provisions of the draft Law, which essentially inherits the provisions of the current Statistics Law.

According to Minister Vinh, there have been suggestions to separate it from the Ministry of Planning and Investment. One option is to assign it to the Government, the other to another agency. However, if it's assigned to the Government, the Ministry of Planning and Investment would be closer to the Government, while if it's assigned to another agency, the Government would still make the decision, so it would be the same.

Regarding this matter, according to Mr. Phung Quoc Hien, Chairman of the Finance and Budget Committee, the location of the statistical agency is not important; what matters is that information is shared openly and transparently, thus ensuring greater independence.

Meanwhile, National Assembly Chairman Nguyen Sinh Hung assessed that the law lacked transparency, as nearly 100% of its provisions delegated the authority to the Prime Minister and the Government to regulate.

"So who announces the national targets? For example, our method of calculating GDP is very vague and unclear," questioned National Assembly Chairman Nguyen Sinh Hung.

According to the Speaker of the National Assembly, GDP is the most important statistical figure of the country, but it is also inaccurate. So how does this law address this? Because the lack of transparency in the indicators is what leads to inaccuracy.

"How can the country be led if the targets are inaccurate? National targets must be made public and transparent. The law must stipulate national targets directly, specifying everything from the targets themselves to the calculation methods clearly, and assigning clear responsibility, instead of leaving everything to the Prime Minister and the Government to decide," the National Assembly Chairman suggested.

According to Infonet