Acceso usuarios
Purpose: This study analyses the financial performance of Papua Province's regency and city administrations from 2015 to 2021 in terms of regional independence, dependency, and harmony.
Theoretical framework: Every local government should consistently, somewhat, equitably, and democratically enhance the services it provides to the community. The effectiveness of controlling these potentials can also be used to gauge the local government's financial performance. The regional budget serves as the government's indicator for assessing its capacity to finance the execution of development initiatives.
Design/methodology/approach: Uses secondary archive data (APBD) retrieved from the DJPK database for the years 2015-2021. Various assessments, including the dependency ratio, the independence ratio, and the harmonization ratio, are used to evaluate the financial success of the previous years. The Asymptotic Significance with Kolmogorov-Smirnov test is used to determine the difference in financial performance.
Findings: (1) Papua Province's financial performance between 2015 and 2021 shows that the ratios of independence are still deficient (below 25 percent) with the relation pattern with the central government in the instructional category, that regional dependency still revolves in very high criteria, and that the harmonization ratio is an average of 22.40 percent, with a perception of higher than national level 5-20 percent. (2) From 2015 to 2021, there is no substantive distinction between the regency and city's financial performance in the province.
Research, Practical & Social implications: The imperative for in-depth research on regional financial performance in Indonesian provinces are linked to other variables such as regional loans or government policy that makes loans one of the regional sources of income. Improve the amount and quality of human resources in regional financial management, which naturally alters the regional financial management system.
Originality/value: To improve the region's financial performance, the local government must increase local income through polling business more intensively and effectively. Local governments must establish more income targets with projections, modify rules relating to PAD improvement activities, and identify new PAD sources.
