<![CDATA[Abstract This purpose of the study is to analyze the effect of village funds and human development index (HDI) on poverty in Aceh Province. This study uses panel data from 23 districts/cities in Aceh from 2015-2019. The method used in analyzing the research is panel data regression method. Choosing a fixed effect model in the analysis, it was found that the village fund had a positive and significant effect, while the human development index had a negative and significant effect on poverty in Aceh Province. The positive relationship between village funds and poverty indicates the ineffectiveness of village funds usage which has not been able to reduce poverty levels yet. Meanwhile, the negative relationship between HDI and poverty means that the higher the HDI can reduce the poverty levels. Therefore, it suggests that the government must supervise in the village funds allocation that focus on economic development for community to increase welfare and reduce the poverty rate in Aceh. Furthermore, it is necessary to improve the quality of education for the poor and adequate health in remote areas so that it can reduce poverty.Keywords: Village Fund, Human Development Index, Poverty, Panel Data Regression.]]>
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