Analysis of Performance and Financial Capability of Raja Ampat District in Supporting the New Autonomous Region of Southwest West Papua Province

Authors

  • Murni Muhammadiyah Sorong University, Indonesia

Keywords:

Financial Capacity, Financial Performance, Regional Autonomy

Abstract

An important factor to consider is the ability of local governments to develop their territory. Lack of financial capacity can be caused by the inability of local governments to identify and utilize sources of income that can be generated, which in turn will hinder the successful implementation of regional autonomy. The lower the regional government's financial dependence on the center, the more regional original revenue must be donated to the APBD. This type of research is qualitative. The research approach used is a quantitative-descriptive approach. To measure the financial capacity of the regional government of Raja Ampat Regency, the Financial Capability Index is used. The regional government of Raja Ampat Regency is still considered financially ineffective and inefficient. It can be seen from the results of the calculations and indicators that have been used that the ratio of independence and the ratio of degrees of decentralization are still in the less category, and the activity ratio was in the ineffective category from 2019 to 2022. For the expenditure activity ratio, local governments are still allocating more funds for spending apparatus than for spending capital.

References

Awani, M. F. and Hariani, S. (2021). Analysis of the Regional Independence Ratio and Financial Ratios on Regional Government Financial Performance. ACCURACY: Journal of Accounting and Finance Research.

Christia, A. M. and Ispriyarso, B. (2019). Fiscal Decentralization and Regional Autonomy in Indonesia. Law Reform: Journal of Legal Reform. https://doi.org/10.14710/lr.v15i1.23360

Hanifa, R., & Amalia, V. (2023). Analysis of the Financial Performance of Regional Revenue and Expenditure Budget at the Financial and Asset Management Agency of Oki District. Rahmaniyah Accounting Scientific Journal.

Law No. 01 of 2022 on financial relations between central and local governments.

Law No. 23/2014 of the Regional Government.

Marselina, D., Soselia, K. E., Ningrum, C. S., Pangestu, N. F., Lero, A. F., & Kristanti, P. (2023). Analysis of Financial Management Performance of Maluku Provincial Regional Finance. Journal of Accounting and Finance Research.

Melati, I., Riani, P., Hasibuan, A. (2023). Financial performance analysis of newly established districts and cities in North Sumatra. MES Management Journal.

Nalle, F. W., Oki, K. K., Sangaji, P. M. M. (2021). Analysis of the Regional Financial Capability for the Implementation of Regional Autonomy in East Nusa Tenggara Province. Innovation. https://journal.feb.unmul.ac.id/index.php/INOVASI/article/view/8067%0Afiles/1318/Nalle et al. - 2021 - Analisis kemampuan keuangan daerah dalam rangka pe.pdf

Pilat, J. J., & Morasa, J. (2017). Analysis of Budgetary Financial Ratios of Revenue and Expenditure of Manado City (APBD) to Assess the Financial Performance of Manado City Government for the Fiscal Year 2011–2015. Accountability.

Putri, O. H. (2023). Comparison Map of Regional Financial Capability in the Administration of Kerinci Regency and Sungai Penuh City. EMT KITA Journal.

Rahmawati, R. D. (2016). Analysis of the performance of regional revenue and expenditure budget in the economic and tourism offices of the Tuban Regency.

Ridwan, M., & Mus’id, M. (2019). Factors affecting public sector organizational performance (Empirical Study on Agencies in Jambi City). Integrated Accounting Research Journal.

Safkaur, O. J. F. (2023). Analysis of financial performance, financial capability, and evaluation of regional budgets (doctoral dissertation).

Wijayanto, L. H., & Muin, M. F. (2020). Analysis of Development Performance of the New Autonomous Region in Indonesia 2010-2014: Profile and Determinant. Indonesian Journal of Social and Environmental Issues (IJSEI), 1(2), 53-62.

Published

2023-09-20

How to Cite

Murni. (2023). Analysis of Performance and Financial Capability of Raja Ampat District in Supporting the New Autonomous Region of Southwest West Papua Province. Indonesian Annual Conference Series, (Proceedings of IACS-HOICEB), 10-18. Retrieved from https://ojs.literacyinstitute.org/index.php/iacseries/article/view/1094