Leveraging on Business Intelligence Tools for Micro- and Macro-data Analysis and Research
-Bank Negara Malaysia’s (BNM) experience
Presented by Tai Yoon Foong
Statistical Services Department
Bank Negara Malaysia
MyStats 2013:Promoting Innovation in Economic and Financial Statistics to
Support Policy Making in a Dynamic Environment18 November 2013, Sasana Kijang
Co-organised byBank Negara Malaysia, Jabatan Perangkaan Malaysia,
Malaysia Institute of Statistics
Outline of
Presentation
1. Data Management Framework in BNM
2. Application of BI in BNM
3. Initiatives to Meet User Needs
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Data Management Framework … adoption at BNM
• Data collected must meet current and future needs
• Comprise macro and micro data according to user needs
• Must balance between the statistical needs and cost to the
reporting entities
• Should conform to specific and consistent rules, standards
and definitions in line with international standards, best
practices and compilation methodology
Data Collection
• Repository of all financial, monetary, external and real sector
... Covers the process from sourcing of data to final reporting
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• Repository of all financial, monetary, external and real sector
statistics
• Data transformation and data quality check according to
business rules
Data Warehouse
• Tool used to extract data for analysis, surveillance and policy
formulation
• A combination of tools will be used and may be further
customised to meet business requirements
BI Tool
Scope of Statistics Users
End to end process
1. Data Origination
2. Data Quality and Integrity
3. Data Dissemination
4. Data Integration
Internal
1. Monetary and Economic
2. Regulation
3. Supervision
4. Investment Management and
Foreign Exchange Administration
Statistical Compilation in BNM
Data Management
Monetary & Financial Statistics
1. Banking Statistics
2. Insurance Statistics
3. Payment Systems Statistics
4. Development Financial
Institutions Statistics
Established legal framework that empower BNM to collect statistics
• Central Bank of Malaysia Act 2009
• Financial Services Act 2013
• Islamic Financial Services Act 2013
• Development Financial Institutions Act 2002
Compilation of data
is centralised at
Statistical Services Department
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5. Data Change Management
6. Metadata Management
7. Retention and Archiving
External
1. International Organisations
2. Department of Statistics Malaysia
3. Government Agencies
4. Financial Institutions
5. Public
Foreign Exchange Administration
5. Payment Systems
6. Financial Intelligence
Institutions Statistics
5. Credit Information
Other Statistics
1. External Sector Statistics
2. Macroeconomics data
Reporting EntitiesReporting EntitiesReporting EntitiesReporting Entities1. Banks [61]
2. DFIs [6]
3. Payment System Regulatees [34]
4. Insurance Co. & Intermediaries
[123]
5. Other Companies [3000]
Standards AdoptedStandards AdoptedStandards AdoptedStandards Adopted1. Accounting Standard (e.g. IFRS)
2. International Standard (e.g. ISO)
3. National Standard (e.g. MSIC
2008)
4. Other BNM Standards
Other Statistics
Macroeconomics data
External Assets & Liabilities (micro 2/)
1. Non-resident Counter Party Profile
• Name of Non-residents
• Non-resident ID
• Institutional Sector
• Business Sector
• Relationship with Non-residents
2. Investment Information
• Type of Instruments
Credit Information (micro 2/)
1. Borrower’s Details
2. Application Details
3. Loan Details• Approval Date/Limit• Facility Type• Purpose of Loan• Financing Concept• Repayment Term• Interest/Rebate Rate• Type of Pricing• Maturity Date
4. Account Position
A. Financial Assets and Liabilities (macro1/)
1. Securities• Maturity• Financing Concept• Collateral• Lender• Type/Instruments• Rating• Stock• Issuance Date
2. Loans• Facility• Sector and Purpose
Monetary & Financial Statistics
Cash BOP flows (micro 2/)
1. Inflow and outflow of funds by
• Purpose
• Currency
• Country
2. Payment & receipts by Customers
Statistical Information… collection of micro and macro data
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Macroeconomics data (macro 1/)
1. Real sector
2. Financial
3. External sector
4. Fiscal
• Type of Instruments
• Country
• Currency
3. External Assets & Liabilities Position
• Opening Position
• Transactions
• Valuation & Other Charges
• Closing Position
• Investment Income
• Outstanding Balance• Months and Installments In Arrears• Amount Undrawn• Account Status• Amount Disbursed/Repaid
5. Provision• Impaired Loan Tagging• Month In Arrears• Principal and Interest/Income
Outstanding• Other Charges• Individual Impairment Provision• Impaired Loan Written-back/Written-off
6. Account Collateral
7. Legal Action
• Sector and Purpose• State• Maturity• Country and Currency• Financing Concept
3. Deposits• Customer Type• State• Maturity
4. Other Asset and Liabilities
B. Income and Expenditure (macro 1/)
C. Payments (macro 1/)
1/ data is consolidated by specific dimensions and
institution2/ micro data at transactional level
Various data sources
store in various
repositories based on
subject areas
Output in user friendly
reports with auto update
capability
Overview on Application of BI Tools … improve data access and analysis
Various BI tools
available based
on subject
areas
Various platforms with
multi-dimensional views
that would enable easy
and fast retrieval of
information
• Data transformation
based on business
rules
• Robust data quality
checking leveraging
on BI tools
areas
Leveraging on BI for Analysis and Research
There are 3 main types of BI users in BNM
• Compilers
• Regulators and Supervisors
• Analysts and Researchers
The Compilers … roles play by SSD to ensure timely delivery of quality data
Data Processing
• Perform data quality checks via micro and macro analysis
• Perform data validation based on business-defined rules
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• Setting threshold to detect out-of-trend submission
• Cross data comparison with other relevant sources to ensure data consistency
Application of BI tools to:
• Generate data by different dimensions, different level of granularity
• Extract cross subject area data for comparison
• Apply threshold on the output to detect outlier
• Generate standard reports and update templates for publication and dissemination
The Regulators and Supervisors… users from the financial system stability sector
• Main users of financial data, as well as macroeconomics data for more effective
surveillance
• Use BI to extract data and customise standard reports for periodical analysis and
surveillance
Analytics
1. Generate data by different dimensions
2. Drill down from summary view to transactional details
3. Extract data for trend analysis
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4. Produce summary key financial indicators of banking system for update to BNM’s senior
management
5. Monitor banking institutions’ compliance with liquidity, capital and statutory requirements
6. Carry out risk assessment on the banking system in Malaysia
Report
1. Consume customised standard reports
2. Modify dynamic reports for own analysis and consumption
The Analysts and Researchers …users from policy making departments
• Require broad spectrum of financial and macroeconomics data at micro and macro
level for analysis
• Use BI to extract data for further analysis
Analytics
1. Generate data by different dimensions
2. Filtering information from various dimensions, drill down from macro level to micro level
3. Perform historical trend analysis and forward looking assessment
4. Produce quantitative analysis to support policy development
5. Carry out market assessment to facilitate policy implementation
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5. Carry out market assessment to facilitate policy implementation
6. Monitor key data to assess effectiveness of policies
7. Analyse key trends and developments in the financial industry to identify issues and propose new
policies
8. Assess potential impact and readiness of FIs in complying with proposed new policies
Reports
1. Consume customised standard reports
2. Modify dynamic reports for own analysis and consumption including extracting external data i.e.
from World Bank, OECD and IMF to support analysis.
End User (Requester)
• Submit applications via:
- Hardcopy form
- Userid Request System
Approver at End User Department
• Seek approval from authorised supervisor
• System Administrator grant access to user upon approval
Statistical Services Department (SSD)
• Assess application
• Assign access right as approved by Director or designated officer
• Notify end user on approval or rejection
Users Access and Responsibilities… ensure confidentiality and accountability
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Responsibilities of end users:
1. End user shall observe confidentiality of data and ensure compliance with relevant information
security policies and procedures
2. Director of end user department to ensure no breach of data confidentiality in his department and
access to information are for valid business purposes
1. Classrooms and hands on training to users
• Reporting requirements
• Data items and database structure
• System and business intelligence tools
2. Clarification and assistance via telephone, email
and face to face discussion
Comprehensive Support to Stakeholders
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3. Focus group meeting and discussion
4. Alert on significant development in data
5. Report generation and preparation
Transformation to Enterprise-Wide System Information Architecture
Initiatives
1. Development of an integrated statistical
system with agile IT infrastructure for end-to-
end data management from data submission,
storage to dissemination
Benefits
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1. More efficient data management Bank-wide
2. Easy and fast access to timely, credible and
relevant data
3. Reduce reporting burden by eliminating data
duplication
4. Ease of IT maintenance and support
Admin & Maintenance
Online Submission
Integration services
Offline Submission
Statistical
Information
Data
Submission
Data
Management
Authentications and User Management
Information
Catalogue
(Universe)Reports
Dashboard
Metadata Management
Master Data Management
Analytics
Signature Verification
(EPKI)Service
DeskOther
Functions
Workflows
Portal
Submission Business Intelligence (BI)
Development of STATsmart … integrated system architecture
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Operational
Database
Data Warehouse
DataMarts
Master Database
Extract, Transform and Loading Systems (ETL)
servicesSubmission
Taxonomy
Forms
Form Converter
Engine
XBRL Database (XDA)
Data Migration
Audit Logs
Historical
Database
Enterprise Data Warehouse (EDW)Taxonomy
Data Model
Thank you