Local Financial Independence Research Articles

Regional financial performance evaluation in the Indonesian fiscal decentralization era

Under the decentralization policy, regions have the rights and obligations in arranging of themselves. Then many studies showed positive and negative impacts of fiscal decentralization in Indonesia. Regarding on this issue, this study was conducted in analyzing financial performance under fiscal decentralization. The analytical method used is the ratio indicator degree of fiscal decentralization, financial regional self-sufficiency indicator ratios and harmony indicator ratios of regional budget. From the degree of fiscal decentralization, in Indonesia from 2008 to 2014 has not yet been able to realize the aspects of the region's autonomy. Judging from the distribution per region, most of the regions in Indonesia are in a class of regions with less degree of fiscal decentralization. Meanwhile, indicators of local financial independence in Indonesia from 2008 to 2014 saw a significant increase. From the indicators of harmony expenses are still very dominant from the routine expenditure almost 70% -80% annually. From this result, mandatory for the local government to continue their improvement of the region's autonomy, especially in terms of funding through a mechanism that does not burden the private and public sectors.

Pendapatan Asli Daerah, Dana Alokasi Umum Dan Dana Alokasi Khusus Terhadap Kinerja Keuangan Pemerintah Kabupaten Gorontalo

This research figures out and analyzes the influence of regency own revenue (PAD), general allocation funds (DAU), and special allocation funds (DAK) on the financial performance of Gorontalo Regency Government, and analyze the dominant variables that affect the Financial Performance of Gorontalo Regency Government. Quantitative approach is applied in this research with multiple regression analysis tools that include Partial Test and simultaneous test. The data used is quantitative internal secondary data, namely LRA period 2012-2016 Gorontalo District Government for all govermental apparatus (SKPD). The results showed that partially, regency own revenue variable (X1) has no significant influence on the value of 0.403 to the financial performance of Gorontalo Regency. General allocation funds variable (X2) has no significant influence with the value of 0.661 on the financial performance of Gorontalo Regency. Special allocation funds (X3) variable has significant influence with significance value 0.000 on financial performance of Gorontalo Regency. It is also shown that simultaneously the independent variables (PAD, DAU and DAK) have a significant effect on the dependent variable, which is the financial performance of Gorontalo Regency Government period 2012-2016 with a significance value of 0.000. It is suggested that further researchers conducting the same study add other variables and use the ratio of local financial independence for performance variables.

ANALISIS KINERJA PENDAPATAN ASLI DAERAH KABUPATEN BUNGO

This research aims to assess the performance of original regional income Bungo district using the ratio approach to measure local financial independence, effectiveness of local revenue, and efficiency of local revenue and trend analysis to determine trends and projections of independence ratio, effectiveness of local revenue ratio, and efficiency of local revenue ratio. The processed data is a summary of region budget of revenue and expense of the fiscal year 2010-2014 were obtained from the central statistical agency. This research used quantitive descriptive methodThe results conclude that the level of local financial independence Bungo district still very low which still belong to the category instructive relationship patterns, the effectiveness of local revenue has not reached effective category, and the level of efficiency of local revenue is reached very efficiency category.

THE EFFECT OF LOCAL GOVERNMENT CHARACTERISTICS AND FINANCIAL INDEPENDENCE ON ECONOMIC GROWTH AND HUMAN DEVELOPMENT INDEX IN INDONESIA

This study is to analyze the effect of local government characteristics consisting of size, age, status, population, number of work units (SKPD), employee expenditure and leverage on local financial independence as well as its impact on economic growth (GDP) and the Human Development Index (HDI) in the districts or cities in Indonesia. The sample used in this study amounted to 1003 financial statements of the local government districts or cities in Indonesia from 2009 to 2013. Samples were selected based on purposive sampling method. Data analysis technique used is Partial Least Square (PLS). The results show that size, age, status, population, number of SKPD, and have leverage positive and significant effect on the local financial independence. Employee expenditure has a positive and insignificant effect on the local financial independence. Local financial independence has negative and significant effect on economic growth. Local financial independence has positive and significant effect on the Human Development Index.

ANALISIS TINGKAT KEMAMPUAN KEUANGAN DAERAH DALAM MENDUKUNG PELAKSANAAN OTONOMI DAERAH

The purpose of this study was to determine the level of financial capability in Pamekasan in order to support the implementation of regional autonomy. This study took place in the Finance and Asset Management Agency Pamekasan regency . While the data used in this study is the financial data in the budget Finance and Asset Management Agency Regions 2011-2015 fiscal year. The data collection techniques is to study literature and documentation This research method is descriptive quantitative, using financial ratios, ie the ratio of local financial independence, the ratio of the degree of decentralization, local financial dependency ratios. The results of the analysis conducted of data obtained as follows: Based on the ratio of local financial independence shown by the average ratios are 36.53%% remained between 25% - 50% are categorized as instructive meaningful relationship patterns Pamekasan government's ability to meet funding needed to perform the duties of Government, Development and Social Services community is still relatively low despite the years has increased and decreased. The degree of decentralization ratio only has an average of 6.4%. this means that the level of financial independence still low Pamekasan in implementing autonomy. Based on the area of financial dependency ratios averaging 19% are in scale interval, 10.01 to 20.00% this means that This means revenue (PAD) has a dependency large enough to cover immediate expenses and Pamekasan government still depends on the source financial receipts from central government and provincial transfers.

Analysis of Capital Expenditure and Its Implications on Local Financial Independence

Tujuan Penelitian ini adalah untuk menganalisis dan memperoleh bukti empiris pengaruh dari dana perimbangan, Dana Insentif Daerah (DID), dan aset tahun lalu terhadap belanja modal serta pengaruh belanja modal terhadap kemandirian keuangan daerah. Populasi pada penelitian ini adalah seluruh pemerintah daerah di Indonesia dengan sampel sebanyak 131 pemerintah daerah yang diperoleh dengan menggunakan purposive sampling. Alat analisis data menggunakan analisis statistik deskriptif dan analisis regresi. Hasil penelitian menunjukkan bahwa dana perimbangan dan aset tahun lalu berpengaruh positif secara parsial dan simultan terhadap belanja modal. Dana Insentif Daerah (DID) tidak berpengaruh terhadap belanja modal. Belanja modal berpengaruh positif terhadap kemandirian keuangan daerah. Simpulan pada penelitian ini adalah bahwa pemerintah daerah telah mengelola dan menggunakan dana anggaran dengan baik, sehingga memenuhi kepentingan para principal dan hal tersebut dapat didukung oleh teori agensi. Dana perimbangan mampu memberikan dorongan terhadap pelaksanaan desentralisasi fiskal yang berakibat pada peningkatan pertumbuhan ekonomi, berupa peningkatan pembangunan infrastruktur dan berimplikasi pada tingginya belanja modal. Hasil tersebut dilandasi dan didukung oleh teori fiscal federalism. The aim of this research are to determine the effect of intergovernmental revenue, local incentive fund and asset on the last year on capital expenditure and the effect of capital expenditure on local financial independence. The population in this research is all of local government in Indonesia with 131 samples that got by purposive sampling. The analytical tool of data used descriptive statistical analysis and regression analysis. The result showed that the intergovernmental revenue and assets on the last year had positive effect on capital expenditure partially and simultaneously. Local incentive fund had not effect toward capital expenditure. Capital expenditures had a positive effect toward local financial independence. The conclusion in this research are local governments can manage and use budget funds well and can comply the principal’s interest and it is based by agency theory. Intergovernmental revenue can give encouragement on fiscal decentralization, that give impact on increase of economic growth, likethe building of infrastructure and can impacts on capital expenditure and it is based by fiscal federalism theory.

Analisis Kemandirian Keuangan Daerah Kabupaten Sidoarjo Tahun Anggaran 2010 – 2014

This study aims to determine the level of development of local financial independence Sidoarjo district in order to support the implementation of regional development for the implementation of a decentralized system (Local Government), the contribution of PAD to Sidoarjo district budget in fiscal year 2010-2014 and the commitment of local governments to increase revenue Sidoarjo regency. This type of research is quantitative qualitative (mixed method). The results showed that the ratio of local financial independence Sidoarjoregency status is low or that are in consultative relationship patterns. The ratio of the degree of fiscal decentralization and the index ratio shows the ability of a routine that sufficient fiscal capacity. In harmony ratio shows the results of routine spending a larger share of total development. While the growth rate, the overall experience negative growth. The contribution of PAD to Sidoarjo district budget is low or less. Then the lack of commitment of local governments both the Executive and the Legislature to improve PAD affecting the magnitude of the increase of local financial independence, the lack of loyalty of both the Executive and the Legislature in managing the region's financial sectors ranging from planning to implementation, and the lack of innovation of local governments in exploring the potential Regency Sidoarjo that generate revenue.

Fiscal Distress of Local Government Study on Regencies/Cities in the Provinces of East Nusa Tenggara, Maluku, and North Maluku

This study aims to examine the factors that influence the occurrence of fiscal distress in local government. The degree of decentralization, local financial dependency ratio and local financial independence ratio were used to predict fiscal distress. The method used in this study is a quantitative research and used the regencies/cities in the province of East Nusa Tenggara, Maluku and North Maluku were taken as samples. The results showed different result with previous studies, that the degree of decentralization, local financial dependency ratio and local financial independence ratio do not affect the fiscal distress.

Pengaruh Rasio Efektivitas Pendapatan Asli Daerah, Dana Alokasi Umum Dan Dana Alokasi Khusus Terhadap Tingkat Kemandirian Keuangan Daerah Di Provinsi DIY

This research aim to reveal the influence of local own revenue effectivity ratio, general allocation fund, and special allocation fund to the local financial independence level on districts and city in Daerah Istimewa Yogyakarta. The method of this research is cauvative research design. Budget realization report from each districs and city in Daerah Istimewa Yogyakarta as population from the year 2010 to 2014. Techniques of data analysis using multiple linear regression. The Partial result show that local own revenue effectivity ratio did not significantly effect on the local financial independence level. While, general allocation fund, and special allocation fund impact negative significantly effect on the local financial independence level. The Simultaneously result show that local own revenue effectivity ratio, general allocation fund, and special allocation fund impact positive significantly to the local financial independence level.

EFEKTIVITAS PUNGUTAN PAJAK REKLAME TERHADAP TINGKAT KEMANDIRIAN KEUANGAN DAERAH KABUPATEN BATANG HARI TAHUN 2010-2014

The study aims to determine the development district Batang Hari advertisement tax years 2010-2014, the effectiveness of the advertisement tax levy Batang Hari district in 2010-2014, and the level of financial independence Batang Hari district in 2010-2014. The method used in this research is qualitaanalysis method, data collected by structured interview to dipenda Batang Hari district and regional development planning agency and county Batang Hari. Development of data analysis techniques using the advertisement tax ratio indicatordevelopment, the effectiveness of advertisement taxation using effectiveness ratio while the level of local financial independence using indicators of independence ratio. These result indicate that the development of the advertisement tax Batang Hari district of 10,14 % annually, the effectiveness of advertisement taxation has a verry effectifve influence on the level of local financial independence by 133,39%, and the level of local financial independence is still low with an average percentage rate of 5,36 % per year, this study shows that the effectiveness of advertisement taxation can increase the level of financial independence of local government areas in the district particularly Batang Hari.

Pengaruh Kemandirian Keuangan Daerah, Diferensiasi Fungsional Dan Spesialisasi Fungsional Terhadap Tingkat Pengungkapan Wajib Laporan Keuangan Pemerintah Daerah

The purpose of this study was to examine the effect of local financial independence , functional differentiation and functional specialization of the level of mandatory disclosure of financial statements of local government . The average level of mandatory disclosure of the financial statements of local government in regencies/ cities in Aceh amounted to 48.65 % . The data used are secondary data from the financial statements of the second level governments . Total population in this study were 23 regencies/ cities in Aceh 2013-2014 fiscal year . Statistical method used to test the hypothesis is multiple linear regression . The results showed that, simultaneously local financial independence, functional differentiation and functional specialization affect the level of mandatory disclosure of financial statements of local government. Partially local financial independence affects the level of mandatory disclosure of financial statements of local government, functional differentiation affects the level of mandatory disclosure of financial statements of local government, and functional specialization affect the level of mandatory disclosure of financial statements of local government.

The Relation of Fiscal Decentralization, Regional Finance and Social Justice for the Local Development of Indonesia

This study aims to analyze the relationship between fiscal decentralization, fiscal capacity, financial independence and financial expenditure areas in achieving social justice. In this case, the East Java Province Indonesia is supported by the existence of local government district / municipality became the main object of study during 2010 -2014. The needed data are such as; financial balance data, regional revenue, the amount of local spending and social justice data on people's lives. Data analysis method used is Partial Least Square (PLS). The results provide the conclusion that the implementation of the fiscal decentralization policy gives positive and significant impact on local fiscal capacity. Fiscal capacity gives positive and significant impact on the local financial independence. Local financial independence gives positive and significant impact on the structure of the shopping area. The structure of local government spending has a significant effect on the achievement of social justice areas. In this case, the fiscal capacity and financial independence have no direct impact significantly on the achievement of social justice in the various districts / cities in East Java. In addition, this study also provides important conclusion that there is a significant indirect effect of fiscal decentralization on social justice through local fiscal capacity, local financial independence and the structure of local government spending.

PENGARUH PENDAPATAN ASLI DAERAH DAN DANA ALOKASI UMUM TERHADAP TINGKAT KEMANDIRIAN KEUANGAN DAERAH (Studi Empiris pada Provinsi D.I Yogyaarta tahun 2008-2013)

The purpose of this study was to determine (1) the level of local financial independence in the province D.I. Yogyakarta (2) the influence of the local revenue of the level of local financial independence in the province D.I. Yogyakarta, and (3) the effect of general allocation funds to the level of financial independence in the region D.I. Yogyakarta province.
 
 This research is quantitative. The population in this study is D.I. Yogyakarta province of 2008-2013. The data used in this research is secondary data. Secondary data used was obtained APBD Realization Report of DPDPK city of Yogyakarta and BPS. The data have been collected and analyzed by the method of data analysis first conducted classical assumption test before hypothesis test. Testing the hypothesis in this study using multiple linear regression t test, F test, and test the
 coefficient of determination.
 
 The analysis showed local revenue positive and significant impact on the level of local financial independence with 15.661 t-test results with a significant level of 0.000, t-test bigger than ttable (15.661> 2.0639, general allocation funds do not affect the level of independence the financial area, with the t-count is smaller than t-table (-0.216

Analisis Kinerja dan Kemampuan Daerah dalam Pelaksanaan Otonomi Daerah Kota Pontianak

Discussion about the Regional Financial Performance and Capabilities required to be processed more deeply, then becomes a problem in this research are: the financial capacity of the region in the implementation of regional autonomy, especially in 2011-2014, when viewed from the degree of decentralization Fiscal Indicators (DDF), Degree of Fiscal Autonomy (DOF), Fiscal Capacity, Needs Fiscal Effort / Effectiveness Ratio Fiscal Position original revenue (PAD) and Tax Performance Indicators and Local Retribution in Pontianak. And will be discussed also about the level of local financial independence in 2011-2014 to support the organizers of regional autonomy as measured by the ratio of Regional Financial Independence and Relationship Patterns in Pontianak. Research conducted at the Office of Pontianak City BPKAD, with the quantitative descriptive analysis method which uses data measured in a numerical scale / number. (Kuncoro, 2003) This analysis aims to determine the level of local financial capacity, level of independence and the readiness of the local government of the city of Pontianak in the implementation of regional autonomy. Results from this study and the performance of Financial Ability in one regional assessed from the ratio of local independence that describes to the extent of financial dependence of local governments to the central government, obtained by comparing the acceptance of PAD to acceptance Assistance and Contribution Regions. From the year 2011-2014, the average calculation independence ratio Pontianak City generate value 21.22% Because of the value is between 0-25%, the city of Pontianak is considered to have very low financial capacity and have a pattern instructive relations with the central government, which where financial dependence on the central government is still low compared to the regional independence.

Pendapatan Asli Daerah Berdampak pada Kemandirian Keuangan Daerah

Demands for reform in all fields are supported by all Indonesian people in addressing regional issues have an impact on the financial relationship between the Central Government and Local Government. Autonomy and financial balance is fair, proportionate and transparent to be one of the demands of regional and community. The main characteristic of a region capable of autonomous autonomy lies in the financial ability to fund the implementation of local government with a degree of dependence on government is getting smaller. It is expected that the revenue (PAD) should be the biggest part in mobilizing funds local governance. Based on the above reasoning this study aims to look at local financial independence through a proportion of local revenues to total local revenue and ability to fund research activities. The method used is descriptive qualitative analysis method by analyzing the ratio to measure the level of independence local finance Bandar Lampung municipality. The results showed that the level of financial independence Bandar Lampung municipality area is still low, it is seen from the ratio of revenue to total revenue is only 8.06%, compared to operating expenses to be incurred only 9.83%, which can be financed from local revenues while the remaining comes to tax natural resources as well as transfers from the central government and the provinces. Keywords: PAD, TPD, & TBO (Pendapatan Asli Daerah, Total Pendapatan Daerah dan Total Belanja Opersional).