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All Journal Ekuilibrium : Jurnal Ilmiah Bidang Ilmu Ekonomi
Endang Mahpudin
Faculty of Economics, University of Singaperbangsa Karawang
Economics, Econometrics & Finance

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Poverty Reduction through Local Financial Performance: Case Study in East Nusa Tenggara Province, Indonesia Endang Mahpudin
EKUILIBRIUM : JURNAL ILMIAH BIDANG ILMU EKONOMI Vol 15 No 2 (2020): September
Publisher : Universitas Muhammadiyah Ponorogo

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.24269/ekuilibrium.v15i2.2020.pp151-160

Abstract

The high level of poverty in East Nusa Tenggara Province, Indonesia, requires effort to be alleviated. For instance, there is a need to enhance the financial management performance of the locals. Therefore this study analyzes the contribution of local financial performance to the poverty rate. It uses panel data regression analysis involving 22 regencies and municipalities from 2015 to 2018. The results of the study showed that the local financial independency ratio in various regencies and municipalities has fewer contributions to the poverty rate. Local governments need to increase regional fiscal capacity integrated with efforts to improve regional macroeconomic performance. Moreover, they should increase alignments toward poverty alleviation programs as well as the capacity of regional apparatus.
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