Proceedings of the 3rd Beehive International Social Innovation Conference, BISIC 2020, 3-4 October 2020, Bengkulu, Indonesia

Research Article

The Analysis of Financial Performance of Bengkulu Government: Approach to the Degree of Fiscal Decentralization

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  • @INPROCEEDINGS{10.4108/eai.3-10-2020.2306593,
        author={Esti  Pasaribu and Septriani  Septriani and Benardin  Benardin and Armelly  Armelly},
        title={The Analysis of Financial Performance of Bengkulu Government: Approach to the Degree of Fiscal Decentralization},
        proceedings={Proceedings of the 3rd Beehive  International Social Innovation Conference, BISIC 2020, 3-4 October 2020, Bengkulu, Indonesia},
        publisher={EAI},
        proceedings_a={BISIC},
        year={2021},
        month={5},
        keywords={financial performance; fiscal desentralization},
        doi={10.4108/eai.3-10-2020.2306593}
    }
    
  • Esti Pasaribu
    Septriani Septriani
    Benardin Benardin
    Armelly Armelly
    Year: 2021
    The Analysis of Financial Performance of Bengkulu Government: Approach to the Degree of Fiscal Decentralization
    BISIC
    EAI
    DOI: 10.4108/eai.3-10-2020.2306593
Esti Pasaribu1,*, Septriani Septriani1, Benardin Benardin1, Armelly Armelly1
  • 1: Department of Development Economics, Bengkulu University, Bengkulu, Indonesia
*Contact email: estipasaribu@unib.ac.id

Abstract

This study aims to analyze the financial performance of the Bengkulu Government with a degree of fiscal decentralization approach and to determine the effect of the regional original income (PAD) component on the Financial Performance of Bengkulu Government. The data used in this study was secondary data in the form of time series data and processed by multiple linear regression analysis tools (multiple regression). The empirical results of this study indicate that based on the calculation of the degree of fiscal decentralization ratio, the financial capacity of Bengkulu City is still at a very low capability level which is founded a very large difference between government spending and regional opinion. So it appears that Bengkulu Government still relies on assistance from the central government and was not independent yet. This can be an underline for local government to improve their ability being more independent and capable.