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BOJ’s XBRL Based Reporting SchemeOutline and Some Empirical Feedback
November 6-7, 2007
Yoshiaki Wada Financial Systems and Bank Examination Department
Bank of Japan
© 2007 Bank of Japan
Ⅷ European Supervisors XBRL Workshop
in
Amsterdam
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1. Introduction of the BOJ
TokyoMaebashi
Fukushima
Sendai
Aomori
Kushiro
Sapporo
Hakodate
Akita
Niigata
Matsumoto
KanazawaOkayama
Kobe
MatsueHiroshimaShimonoseki
Kitakyushu
Fukuoka
Nagasaki
KumamotoKagoshima
OitaMatsuyama
Kochi Takamatsu
Osaka
KyotoNagoya
ShizuokaKofu
Yokohama
Naha
Central Bank of Japan, established in 1882 32 branches nationwide
© 2007 Bank of Japan
Head Officein Tokyo
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© 2007 Bank of Japan
2 . Monitoring Coverage of Financial Service Institutions
Major Banks
Regional Banks
Shinkin Banks
Foreign Banks
Securities Firms, etc.Bank of Japan
Importance of efficient data gathering scheme
Monitoring data from about 570 FSIs
BOJ covers about 570 FSIs and gathers various daily, weekly, monthly and annual data for monitoring.
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© 2007 Bank of Japan
3 . Purpose of the BOJ’s XBRL Project
1 . For the BOJ itself
⇒ Enhancement of efficiency of gathering data reported to the BOJ from FSIs
2 . For the society
⇒ Enhancement of efficiency of data exchange in the financial industry
i.e. Reduction in data processing manpower, Earlier release of data
i.e. Accelerated use of XBRL triggered by BOJ’s use of it
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© 2007 Bank of Japan
2003 2004 2005 2006 2007
Preparation for testing Tool and taxonomy
development
Live Use
・ Release of the Monthly B/S Taxonomy on banking a/c・ Revision of the Monthly B/S Taxonomy ・ Release of the Taxonomy Setting Tool・ Release of the Monthly B/S Taxonomy on trust a/c・ Release of the Monthly Lending Rate Report Taxonomy
4 . Project history
Three-phase test
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© 2007 Bank of Japan
5 . The BOJ’s XBRL based reporting scheme
②D/L of necessary taxonomy set
⑤ D/L of XBRL data
① U/L of taxonomy set to the library
FSIs
XBRL③ data creation and validation
Data creation tool
Error-free data files
BOJ
Error-free data files
IP-VPN
Database Database
Post data validation
Taxonomy library
Taxonomy setting tool
Taxo2Ta xo3
Taxo1 Taxo2
Earlier data release for users
④ U/L of XBRL data
Select the taxonomy according to the report type
Develop the taxonomy set according to the report type
Excel XBRL
Check for errors using the function of Formula-Link and correct the file
XBRLXBRL
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© 2007 Bank of Japan
5 . Features of the BOJ’s XBRL reporting scheme (1)
1 . All necessary tools, taxonomy, and data communication infrastructure are supplied by the BOJ for free.
⇒ After receiving the necessary taxonomy set, FSIs can promptly generate XBRL data and report it to the BOJ.
2 . FSIs can generate the XBRL instance file, without any third-party assistance.
⇒ Data security is improved.
3 . By using Formula-Link, data accuracy is improved.
⇒ Cost of data handling can be minimized both for FSIs and the BOJ.
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© 2007 Bank of Japan
6 . Review of the last 20 months of live use (1)
⇒ Our XBRL tool has worked without fatal problems.
1. No down time
⇒ The reliability of the tool and availability of the total reporting workflow were confirmed.
2 . All FSIs submitted monthly B/S data in XBRL format ⇒ Although XBRL was not mandatory in our reporting scheme,
all FSIs submitted data in XBRL format voluntarily.
⇒ FSI’s degree of recognition of the new reporting scheme increased steadily.
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© 2007 Bank of Japan
7 . Review of the last 20 months of live use (2)
3 . Revision and re-distribution of the current taxonomy and the release of the new range of taxonomy
⇒ The taxonomies have been revised several times due to revisions to Japanese company law or the requirement for new data.
⇒ A new range of taxonomies, such as those for monthly B/S of trust accounts and lending rate reports, was released.
4 . Enhancement of efficiency of FSIs’ reporting work and the BOJ’s data processing
⇒ Decrease in manpower required for data reporting in the FSIs and for database operation in the BOJ
⇒ Earlier release of the accurate data to the BOJ’s data users.
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© 2007 Bank of Japan
8 . Increased efficiency in the data reporting scheme (1)
No more post data correction via telephone
Excel
Template for data input
XBRL
Taxonomy –set A
Taxonomy setting tool
Data conversion tool (X-Port)
Formula-LinkFormula-Link
Error check
Error correction
From BOJ
To BOJ
Error- free XBRL
Taxonomy –set B
Taxonomy –set C
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© 2007 Bank of Japan
Changes of the BOJ’s business flow on the Monthly B/S data processing
Report deadline
day X X+1 X+2~4 X+5 X+6day X X+1
X+5 X+6
Preparation of data U/L
Data U/L and validation within DB
Data processing within DB
Data release for BOJ users
Error correction
Data validation by XBRL, prior to data submission
Reduction of post validation costReduction of post validation cost
Data validation by XBRL, prior to data submission
Reduction of post-validation cost
Old Flow
Early data release( 2 to 4 days)
Short cut!
New Flow
8 . Increased efficiency in the data reporting scheme (2)
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© 2007 Bank of Japan
Reduction of the required part-time manpower in the BOJ’s database team
8 . Increased efficiency in the data reporting scheme (3)
020406080
100120140160180
April
MayJ u
ne J uly
Aug.
Sept.
Oct.
Nov.
Dec.
J an.
Feb.
Mar.
(FY2
004=
100)
2004FY2005FY2006FY2007FY
XBRL went live (Feb. 2006)
Dotted line : Before XBRL
Solid line : After XBRL
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© 2006 Bank of Japan
9 . Next steps (1)
Advancement in taxonomy design
Version-up of current XBRL data conversion tool
Design of new XBRL database
⇒ New version of taxonomy with Formula-Link and Dimension-Link ⇒ Result of performance test will be reported at the upcoming 16th
XBRL International Conference in Vancouver
⇒ Adaptation to Windows Vista and enhancement of processing power in the core engine of the tool
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© 2006 Bank of Japan
Design of XBRL Database
Issues to be solved
How to manage the relation of XBRL instance and taxonomy
How to generate consistent time-series data from different instances and taxonomies
How to utilize the XBRL meta-data for efficient data analysis
How to reduce the cost of database operations
9 . Next steps (2)
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© 2006 Bank of Japan
Three key factors for smooth implementation:
10 . Some empirical feedback
Taxonomy with high maintainability
User-friendly tool
Well-designed reporting scheme
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© 2006 Bank of Japan
BOJ’s XBRL Team
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© 2006 Bank of Japan
All-Star Cast of my Data Center Section !
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© 2006 Bank of Japan
Thank you for your attention.