Government expenditure by function according to the COFOG classification (classification revised in 1999, developed by the OECD and published by the United Nations) is incorporated in the ESA 2010 Transmission Programme.
The COFOG classifies the expenditure of the general government sector, and its sub-sectors, recorded in ESA-based transactions according to the purpose for which they are used. It is a cross-classification of expenditure operations by economic nature and by function. It is an important tool for analysing public expenditure, particularly useful for international comparisons insofar as governments perform economic and social functions.
The statistical unit is the institutional unit as defined in the ESA 2010. This operation considers the institutional units classified in the general government sector and its sub-sectors.
The examples cited by the ESA as institutional units included in sector S.13 are the following:
a) general government units legally created for the purpose of exercising judicial authority over other units in the economic territory, and administering and financing a range of activities, mainly by providing non-market goods and services to the community;
b) a general government institution or quasi-corporation, if its output is mainly non-market and controlled by a general government unit;
c) non-profit institutions with legal personality which are non-market producers and are controlled by public administrations;
d) autonomous pension funds, where they have a legal obligation to contribute, and where public administrations manage the funds in terms of setting and approving contributions and benefits.
The collection, processing and dissemination of data from statistical operations for state purposes is governed by the provisions of Law 12/1989, of 9 May, on the Public Statistical Function (LFEP), and in the Fourth Additional Provision of Law 4/1990, of 29 June. The LFEP establishes that the National Statistical Plan is the main instrument for organising the statistical activity of the State Administration and contains the statistics to be compiled in the four-year period by the services of the State Administration or any other entities dependent on it. All statistics included in the National Statistical Plan are statistics for state purposes and are compulsory. This operation is a statistic for state purposes and is included in the National Statistical Plan 2021-2024.
Article 125.2(g) of the General Budgetary Law 47/2003 of 26 November 2003 (LGP) stipulates: The General Comptroller of the State Administration is the public accounting management centre, which is responsible for drawing up the national accounts of the units that make up the public administration sector, in accordance with the criteria for institutional delimitation and allocation of transactions established in the European System of National and Regional Accounts. In addition, Article 133 states: For the purposes of Article 125(2)(g), (h) and (i), public units shall be obliged to provide the cooperation and information necessary for the compilation of the economic accounts of the public sector and any other information in the field of the national accounts of public units which is laid down by internal and Community legislation.
The compilation and transmission of
General government expenditure by function is set out in Annex B of Regulation (EU) No 549/2013 of the European Parliament and of the Council of 21 May 2013 on the European System of National and Regional Accounts in the European Union.
Law 12/1989 of 9 May 1989 on the Public Statistical Function obliges the IGAE as a statistical service not to disseminate personal data under any circumstances, regardless of their origin. Personal data are understood to be those relating to natural or legal persons that either allow the immediate identification of the data subjects, or lead by their structure, content or degree of disaggregation to their indirect identification.
Similarly, Regulation (EC) No 223/2009 of the European Parliament and of the Council of 11 March 2009 on European statistics provides for the need to establish common principles and guidelines to ensure the confidentiality of the data used to produce European statistics and access to these confidential data, taking into account technical progress and user needs in a democratic society.
The data is treated confidentially during the collection and validation process until publication.
Furthermore, it should be noted that the
Functional classification of general government expenditure is a summary statistic in which the personal data, in this case referring to legal persons, used is presented aggregated in sectors or sub-sectors of general government, a fact that prevents the identification of the information associated with individual units.
The link to the publications calendar is as follows:
The dissemination of these statistics is the same for all users at the time of publication.
Nevertheless, the data collected in
Functional classification of general government expenditure are provided prior to their publication, under embargo, to the National Statistics Institute for the incorporation of this information in the Spanish Annual National Accounts and to Eurostat for their validation
The link to the online database for this data is as follows:
- Functional classification of general government expenditure and its sub-sectors:
- Functional classification of regional government sub-sector expenditure. Breakdown by autonomous community:
This statistical operation is compiled in accordance with the sectoral classification, definition and time of recording of economic operations set out in
Regulation (EU) No 549/2013 of the European Parliament and of the Council of 21 May 2013 on the European System of National and Regional Accounts in the European Union.
In 2005, Eurostat organised a working group (Task Force on COFOG) whose objective is to ensure that public expenditure information is homogeneous, reliable, complete and comparable across countries. The results of the work are compiled in a manual, the latest edition of which will be published in 2019 (Manual on sources and methods for the compilation of COFOG statistics. 2019 Edition). (Manual on sources and methods for the compilation of COFOG statistics. 2019 Edition ).
On an annual basis, when transmitting this information in the framework of the ESA 2010 Transmission Programme, Eurostat assesses the coherence, consistency and feasibility of the data transmitted. In this process, clarifications to the evolution of data or tax classification are submitted when requested.
Eurostat reviews government finance statistics data during its Dialogue Visits to Member States.
This operation complies with the mandatory requirements of the ESA 2010 Transmission Programme (classification of expenditure by divisions for all sub-sectors and by groups for the entire general government sector) and voluntary requirements (classification of expenditure by COFOG groups for all sub-sectors).
In addition, the classification of expenditure by COFOG divisions by Autonomous Community is published.
The information sources used for the compilation of this statistical operation are administrative data and economic-financial information on public companies classified in the general government sector.
The information covers the total number of units classified in the General Government sector as defined in the European System of National and Regional Accounts (ESA 2010). In particular, the source data used are the accounting information and budgetary information of the State and Social Security; standardised questionnaires relating to the budgetary information and accounting and extra-budgetary information of each regional and local government; accounting statements (balance sheets and profit and loss accounts) of the units not subject to the budget, but included in the general government sector (S.13); and the General Account of each government, comprising all the budgetary and accounting information produced during the financial year.
The work to be carried out for the compilation of this statistical operation varies according to two types of units, those subject to a restrictive budget and public accounting, and those subject to the General Accounting Plan for companies (private). In the first group, the allocation of the expenditure of these units to the different COFOG groups is based on the elaboration of the expenditure operations in accordance with the methodology established in the ESA, on the basis of the economic classification of the expenditure budget. The functional and programme structure of the budget outlines the purposes and objectives to be achieved with the budgetary resources allocated to the cost centres. The expenditure programmes in the Budget Settlements are analysed individually in order to determine their purpose, so that they can be allocated to the corresponding COFOG group.
In the case of units subject to the General Chart of Accounts for companies, the functional classification is made on the basis of their principal activity, as defined in their articles of association and annual reports. However, in those units that carry out several clearly differentiated activities (e.g. in the case of public enterprises that promote public infrastructure in both education and transport), the allocation of expenditure to different COFOG groups is made according to the information contained in the reports.
Finally, the offsetting unit of the expenditure on interest, current transfers and capital transfers is analysed, so that in sector S.13 each transaction is the sum of the data for each sub-sector, except for the aforementioned transactions which are consolidated between sub-sectors.