Expansion of Sumbawa Island Province in the Approach of Fiscal Capacity and Development Justice in Indonesia (Case Study of Sumbawa Island Region)

Pemekaran Provinsi Pulau Sumbawa Dalam Pendekatan Kapasitas Fiskal dan Keadilan Pembangunan di Indonesia  (Studi Kasus Wilayah Pulau Sumbawa)

Authors

  • Sahrudin . Universitas Indraprasta PGRI Jakarta Author
  • Abdul Azim Wahbi Universitas Indraprasta PGRI Jakarta Author
  • Umar Anwar Politeknik Pengayoman Indonesia Author

DOI:

https://doi.org/10.64272/8aashr87

Keywords:

Fiscal, Regional Expansion, Local Original Income.

Abstract

Regional expansion is very important in facilitating and accelerating public services but there are constraints of inadequate fiscal capacity so that support from the center is needed to increase the existing budget. The purpose of the study was to determine the feasibility of the expansion of the Sumbawa Island region (WPS) in terms of fiscal capacity. The research methods used are independence ratio, effectiveness ratio, and growth ratio. The results of the study are that based on the independence ratio to measure the level of dependence in supporting the expansion of Sumbawa Island and based on the average independence calculation ratio of 0.138% percent, meaning that the level of dependence of districts/cities on Sumbawa Island is in an instructive relationship pattern or very low according to the Decree of the Minister of Home Affairs Number. 690.900-327 of 1996 concerning guidelines for assessing financial performance, the effectiveness ratio to assess the financial performance of the realization of planned regional original income compared to the target set based on the average real potential of 96.92% percent, the regional government in utilizing the potential that is a source of regional original income is considered effective. And then the growth ratio or realization of the receipt of Regional Original Income (PAD) on average of 3.16% percent, shows that the regional government in managing the potential that is the source of regional original income is not good. The conclusion is that the expansion of Sumbawa Island has not been maximized. Therefore, the district/city government can formulate the right formula in order to utilize the potential resources in each region to be able to increase regional original income as an indicator of expansion.

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References

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Published

07/03/2025