The Influence of Regional Debt and Capital Expenditures on Financial Sustainability in Provincial Governments in Indonesia
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Dec 28, 2024
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Abstract
Financial Sustainability fluctuates every year in every province in Indonesia during the 2019-2022 period, indicating an increase or decrease in the quality and quantity of public services provided to the community. This study aims to reveal that regional debt and capital expenditure have an effect on financial sustainability. The type of research conducted is associative research that applies quantitative methods, using secondary data sources and using panel data. The population in this study consists of 34 provinces in Indonesia, and the sampling method applied is saturated sampling. The research findings indicate that regional debt has a negative impact on financial sustainability, while capital expenditure has a positive effect on financial sustainability.
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References
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Aulia, A. (2020). GOAL SETTING THEORY VS REINFORCEMENT THEORY: IN RUH PERSPECTIVE THEORY. https://www.researchgate.net/publication/367390693
Babatunde, D. A., Olanike Oshatimi, O., & Omilegan, P. O. (2021). Treasury Single Account as a Driver of Sustainability for Public Expenditure in Nigeria.
Bisogno, M., Cuadrado-Ballesteros, B., Santis, S., & Citro, F. (2019). Budgetary solvency of Italian local governments: an assessment. International Journal of Public Sector Management, 32(2), 122–141. https://doi.org/10.1108/IJPSM-11-2017-0328
Dewata, E., Jauhari, H., Aprianti, S., & Hijria, E. N. (2018). The Effects of Local Government Characteristics and Audit Opinion on the Performance of District and City Governments in Indonesia. Jurnal Dinamika Akuntansi Dan Bisnis, 5(2), 151–162. https://doi.org/10.24815/jdab.v5i2.9057
Dollery, B., & Grant, B. (2016). FINANCIAL SUSTAINABILITY AND FINANCIAL VIABILITY IN AUSTRALIAN LOCAL GOVERNMENT 1. In Public Finance and Management (Vol. 11, Issue 1).
Jauhari, H., & Dewata, E. (2019). The Determinant Factors of Performance of Provincial Governments in Indonesia. JABE (JOURNAL OF ACCOUNTING AND BUSINESS EDUCATION), 3(2), 170. https://doi.org/10.26675/jabe.v3i2.5591
Kadafi, M., & Jurusan Akuntansi Politeknik Negeri Samarinda, D. (2020). Prosiding 4 th Seminar Nasional Penelitian & Pengabdian Kepada Masyarakat 2020.
Lhutfi, I., & Sugiharti, H. (2022). FINANCIAL SUSTAINABILITY OF LOCAL GOVERNMENTS IN INDONESIA. Jurnal ASET (Akuntansi Riset), 14(1), 159–170. https://doi.org/10.17509/jurnal
Masnila, N., Firmansyah, F., Febriantoko, J., Mayasari, R., & Said, J. (2022). Quality of Financial Reporting and Impact of GGG Implementation: Study on Local Government in Indonesia.
Masnila, N., Mayasari, R., Firmansyah, F., Febriantoko, J., & Said, J. (2021). The Effect of Good Government Governance on the Financial Reports Quality: The Case of Provincial Capital Governments in Indonesia. International Journal of Business, Management and Economics, 2(4), 270–287. https://doi.org/10.47747/ijbme.v2i4.385
Mayasari, R., & Febriantoko, J. (2018). See More: Evaluation of Work Programs and Financial Performance of Local Government in Indonesia Through Cipp Model. International Journal of Contemporary Research and Review, 9(12), 21169–21178. https://doi.org/10.15520/ijcrr.v9i12.630
Rodríguez Bolívar, M. P., Navarro Galera, A., Alcaide Muñoz, L., & López Subirés, M. D. (2016). Risk factors and drivers of financial sustainability in local government: An empirical study. Local Government Studies, 42(1), 29–51. https://doi.org/10.1080/03003930.2015.1061506.
Sholikhah, I. (2014). ANALISIS BELANJA MODAL PADA PEMERINTAH KABUPATEN/KOTA DI JAWA.
Subires, M. D. L., Muñoz, L. A., Galera, A. N., & Bolívar, M. P. R. (2019). The influence of socio-demographic factors on financial sustainability of public services: A comparative analysis in regional governments and local governments. Sustainability (Switzerland), 11(21). https://doi.org/10.3390/su11216008
Sugiyono. (2022). Metode Penelitian Kuantitatif, Kualitatif dan R&D. Bandung: Alfabeta.
Syadullah, M., & Yasin, A. (2018). The Dominant Factors Influencing the Flow of Foreign Direct Investment to Indonesia. In Journal of Social and Development Sciences (Vol. 9, Issue 4).
Tang, Z. (2022). Local Government Debt, Financial Circle, and Sustainable Economic Development. Sustainability (Switzerland), 14(19). https://doi.org/10.3390/su141911967
Tri Wardhani, D. (2020). MENGUJI FAKTOR DETERMINAN FINANCIAL SUSTAINABILITY PADA SEKTOR PEMERINTAH. In Jurnal Kajian Akuntansi (Vol. 4, Issue 1). http://jurnal.unswagati.ac.id/index.php/jka