Sources & Methodology

The institutional units analysed in the Financial Accounts are economic entities that are entitled to own goods and assets in their own right, incur liabilities on their own behalf and engage in economic transactions with other units. They are grouped into sectors and subsectors according to the European System of Accounts 2010 (ESA 2010). The definition of each sector is given below:

Total economy (residents) (S.1)

It comprises all institutional sectors, which are domestic residents, namely non-financial corporations, financial corporations, general government, households and non-profit institutions serving households.

Non-financial corporations (S.11)

It consists of institutional units whose principal activity is the production of goods and non-financial services, such as private, public corporations or quasi-corporations.

Financial corporations (S.12)

It consists of institutional units whose principal activity is the production of financial services. It comprises the central bank (S.121), i.e. the Bank of Greece, deposit-taking corporations except the central bank (S.122), money market funds (S.123), non-MMF investment funds (S.124), other financial intermediaries, except insurance corporations and pension funds (S.125), financial auxiliaries (S.126), captive financial institutions and money lenders (S.127), insurance corporations (S.128) and pension funds (S.129).

General government (S.13)

It consists of the central government (S.1311), i.e. all administrative departments of the state and other central agencies whose competence extends normally over the whole economic territory, except for the administration of social security funds, local government (S.1313), i.e. those types of public administration whose competence extends to only a local part of the economic territory, and social security funds (S.1314), i.e. all institutional units whose principal activity is to provide social benefits.

Households (S.14) and Non-profit institutions serving households (S.15)

It consists of individuals or groups of individuals as consumers and as entrepreneurs producing market goods and services, as well as and non-profit institutions serving households, such as trade unions, political parties, charities, etc.

Rest of the world (S.2)

It consists of non-resident units insofar as they are engaged in transactions with resident institutional units or have other eco­nomic links with resident units. The criterion defining “residence” is determined in accordance with the definition in the balance of payments manual of the International Monetary Fund, according to which “resident” means: (1) any natural person, irrespective of his/her nationality, who is present for one year or more in Greece or is intending to do so; and (2) any legal entity incorporated or registered in Greece, including foreign branches that operate in Greece. In Financial Accounts the rest of the world sector is divided into two sub-sectors: Other Euro area member states (all countries except the reference area) and Extra Euro area.

Financial instruments are classified in categories, in descending order according to their liquidity. In addition, they are divided by original maturity into short-term and long-term instruments. According to the ESA 2010, short-term instruments are those with an original maturity of one year or less, whereas long-term instruments are those with an original maturity of more than one year. 

Monetary Gold and Special Drawing Rights (SDRs) (F.1)

This category includes gold held by the Bank of Greece in reserve assets and SDRs held by the Bank of Greece in reserve assets. Both are valued at market/current values.

Currency (F.21)

This category includes coins and notes in circulation. The total amount of euro notes and coins in circulation held by Greek residents (natural and legal persons) is based on estimates given that in a monetary union such as the euro area, currency in circulation in each country cannot be precisely calculated.

Transferable Deposits (F.22)

This category consists of sight deposits, which are fully exchangeable for currency on demand and are directly usable for making payments (by cheque or other direct payment facilities), without delay, penalty or restriction.  

Other deposits (F.29)

Includes all other types of deposits except for transferable deposits: savings deposits, deposits redeemable at notice, time deposits, non-transferable savings deposits, certificates of deposits and repurchase agreements. Deposit balances of all categories are recorded at nominal value. Foreign currency deposits are converted into national currency at the mid-market exchange rate at the end of the reporting period. The value includes interest accrued but not yet paid.

Debt securities (F.3)

Debt securities are negotiable financial instruments serving as evidence of debt. They are classified by original maturity into short-term and long-term debt securities. Debt securities are valued at market prices and include any interest accrued but not yet paid, in accordance with the respective valuation principle of ESA 2010.

Loans (F.4)

Loans are created when creditors lend funds to debtors. They are classified by original maturity into short-term and long-term loans. Loans are valued at nominal values and include any interest accrued but not yet paid.

Equity (F.51)

This category consists of financial assets that are claims on the residual value of a corporation/that cover beneficial interest in the capital of a corporation. It includes listed and unlisted shares as well as other equity, excluding mutual fund shares, which are classified in a separate ESA 2010 category. Listed shares are valued at market prices, while unlisted shares and other equity are valued at estimated market values.

Investment fund shares or units (F.52)

Investment funds are collective investment undertakings through which investors pool funds for investment in financial and/or non-financial assets. These companies issue either shares or units, depending on their structure. Investment funds shares or units are valued at market values.

Insurance, pension and standardised guarantee schemes (F.6)

They refer to the provisions of insurance companies and pension funds for future payments to beneficiaries. According to the ESA 2010, they are divided into the following subcategories: non-life insurance technical reserves (F.61), life insurance and annuity entitlements (F.62), pension entitlements (F.63), entitlements to non-pension benefits (F.65) and provisions for calls on standardised guarantees (F.66). The amounts are recorded at market values, calculated on the basis of the current value of the entitlements of policyholders to a lump sum payment or an annuity.

Financial derivatives and employee stock options (F.7)

According to the ESA 2010, this category includes all financial derivatives, such as options, forwards, futures, credit derivatives, currency swaps, interest rate swaps, and employee stock options. All of the above are recorded at current market prices.

Other accounts receivable/payable (F.8)

This category consists of assets and liabilities arising from trade credits and advances as well as from financial assets and liabilities not classified in any other category. They are recorded at nominal value.

The data are collected from institutional units, on a monthly or quarterly basis, as defined by relative Acts issued by the Governor of the Bank of Greece, the Statute of which has supralegal force and provides (Article 55C) that the Bank of Greece has the right to require any institutional unit established in Greece to report data.

Specifically, the Bank of Greece collects data directly from Monetary Financial Institutions (MFIs), Other Financial Institutions, Insurance Companies and Pension Funds. Other sources of information are the Hellenic Statistical Authority, the Ministry of Finance, the Athens Exchange, the Central Balance Sheet Office (CBSO) of the Bank of Greece, the General Electronic Commercial Registry (GEMI), private business information providers, as well as securities’ databases of the European Central Bank (CSDB/SHSDB).

For households and non-profit institutions serving households, no data are collected directly from the source; however, data on a number of financial instruments held in this sector is provided by the other sectors of the economy. Finally, the financial accounts for the “rest of the world” are compiled using the International Investment Position (IIP) and Balance of Payments (BoP) data.

Financial Accounts are compiled through a specialized IT system that has been developed by the IT Department of the Bank of Greece (ARIADNE). The procedure includes the following steps: (i) collection of statistics from primary sources; (ii)  calculations of the time series required to compile the financial accounts; (iii) quality control to ensure data consistency and checking that economic developments are properly reflected; (iv) compilation of the Financial Accounts for each sector of the economy; and (v) publication of the data on the Bank of Greece’s website and transmission to international organisations, including the European Central Bank (ECB), EUROSTAT, the Bank for International Settlements (BIS) and the Organisation for Economic Co-operation and Development (OECD).