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All Journal Journal of Indonesian Applied Economics EKO-REGIONAL JURNAL PENGEMBANGAN EKONOMI WILAYAH Grouper: Jurnal Ilmiah Perikanan Widyagama National Conference on Economics and Business (WNCEB) Asia Pacific Journal of Management and Education Journal of Development Economic and Social Studies (JDESS) Islamic Economics and finance in Focus (IEFF) Eko-Regional: Jurnal Pembangunan Ekonomi Wilayah Eko-Regional: Jurnal Pembangunan Ekonomi Wilayah
Athoillah, Moh
Department Of Economics, Faculty Of Economics And Business, Brawijaya University
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Analysis of Regional Financial Independence and Capability and Their Implications for Inclusive Economic Growth in Mojokerto Regency, 2014–2023 Febrianata, Zekha; Athoillah, Moh
Journal of Development Economic and Social Studies Vol. 4 No. 4 (2025)
Publisher : Fakultas Ekonomi dan Bisnis Universitas Brawijaya

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Abstract

The shift in policy direction from centralization to decentralization requires each region to become self-sufficient by generating more Local Own-Source Revenue (PAD) than the transfer funds provided by the Central Government. This study aims to determine the level of regional financial independence and capability and their impact on inclusive economic growth in Mojokerto Regency for the fiscal years 2014–2023. The data analysis methods used are the regional financial capability ratio and the regional independence ratio, followed by multiple linear regression analysis to assess their impact on inclusive economic growth. The results show that the regional independence ratio of Mojokerto Regency remains in the low category, with an average of 36.70%. Meanwhile, the regional financial capability ratio indicates a moderate result, with an average of 22.27%. The regional independence variable has a positive but insignificant relationship with inclusive economic growth, while the regional financial capability variable has a negative and significant effect on inclusive economic growth.
Co-Authors Abdurrasyid, Muhammad Faiq Christin Susilowati Chusnia Asshovani Febrianata, Zekha Kartika Intan Abdillah Mariyam Mustafa Mariyana Sari Muharromah, Nailul Alvi Nailul Alvi Muharromah Rila Anggraeni, Rila Supriyadi Supriyadi Wildan Alfarizi