<![CDATA[This study aims to determine how the role of institutions (government and banking) and the influence of the Provincial Minimum Wage, Rural Banks and Non-Performing Loan on poverty and income inequality in Indonesia in 2015-2016. This study uses panel data regression approach for 33 provinces in Indonesia during the 2015-2016 period. The result show that institutional role (government and banking) plays a strong role in poverty in 21 provinces and plays a week role in 12 provinces, and plays a strong role in income inequality in 12 provinces and plays a week role in 21 provinces. The result of the t test showed that the provincial minimum wage and rural banks a significant negative effect on poverty, and variable non-performing loan a not significant positive effect on poverty. While variable rural banks and non-performing loan a significant negative effect on income inequality, in addition to the provincial minimum wage positive and significant effect on income inequality. The result of the F test variable the minimum wage, rural banks, and non-performing loan together effect on poverty and income inequality. When viewed from the estimation results can be seen that the R-squared value of 0,99 or 99% (Y1) and 0,98 or 98% (Y2). This means that 99% of poverty and 98% of income inequality in Indonesia is influenced by the provincial minimum wage (X1), rural banks (X2) and non-performing loan (X3). The remaining 0,01 or 1% and 0,02 or 2% is explained by other variables outside the model.Keywords: Poverty, Income Inequality, Provincial Minimum Wage, Rural Banks, Non Performing Loan ]]>
