PENGARUH KINERJA KEUANGAN TERHADAP BELANJA MODAL KABUPATEN/KOTA PROVINSI SUMATERA SELATAN TAHUN 2017-2021

Abstract

The purpose of this study was to determine the effect of Regional financial performance on Capital Expenditure in South Sumatra Province in 2017-2021. The method used is Non Probability Sampling, namely Purposive Sampling which was carried out in 17 Regencies/Cities, using a quantitative approach and the data source used is secondary data. The total data is 85 Realization Reports of District/City APBD of South Sumatra Province. The analysis technique uses multiple linear regression analysis with hypothesis testing, namely partial statistical tests (t test) and simultaneous (F test). The results of this study indicate that partially the degree of decentralization, the effectiveness of PAD and efficiency affect capital expenditure, where the calculated t value is greater than the t table value. The results of the F test show a sig value of 0.000 <0.05 or the calculated F value of 9.092 > F table 2.72 which means that together the degree of decentralization (X1), the effectiveness of PAD (X2) and efficiency (X3) have a significant effect on spending capital in the Regency/City of South Sumatra Province. The contribution of the local government in this study has been quite good in terms of implementing the degree of decentralization and regional financial efficiency, while the realization of regional government PAD is still not good enough so that there is a need for an increase in the effectiveness of regional own-source revenue.