Al-Kharaj: Journal of Islamic Economic and Business
Vol. 8 No. 1 (2026): All articles in this issue include authors from 3 countries of origin (Indonesi

Infrastructure, Human Capital, And Local Revenue As Determinants of Economic Growth in North Maluku Province

Konu, Liong Finox (Unknown)
Leasiwal, Teddy Ch. (Unknown)
Tamtelahitu, Jopie (Unknown)



Article Info

Publish Date
26 Feb 2026

Abstract

North Maluku Province has recorded positive economic growth in recent years; however, this progress has been accompanied by substantial regional disparities in development across regencies/cities. These regional disparities are reflected in unequal infrastructure provision, variations in the quality of human capital, and uneven contributions of Local Own-Source Revenue (Pendapatan Asli Daerah, PAD), all of which constrain the acceleration of inclusive regional economic growth. This study aims to examine the effects of infrastructure, human capital, and PAD on economic growth in North Maluku Province. This quantitative study utilized panel data from 10 regencies/cities over the period of 2021-2024. The data was analyzed using panel data regression analysis with a Fixed Effect Model. The findings indicate that infrastructure, human capital, and PAD each have a positive and statistically significant effect on economic growth in North Maluku Province. Nevertheless, the magnitude of these effects varies considerably across regions. Areas with a strong mining base and relatively well-developed infrastructure exhibit higher contributions to economic growth compared to regions that rely primarily on trade and agriculture and are characterized by lower human capital quality. Based on these results, this study recommends the implementation of integrated and equitable development policies, including more targeted infrastructure investment, improved access to and quality of education to strengthen human capital, and the optimization of local economic potential to enhance PAD. Such measures are essential to promote more inclusive and balanced economic growth across all regions of North Maluku Province.

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Journal Info

Abbrev

alkharaj

Publisher

Subject

Economics, Econometrics & Finance

Description

Al-Kharaj, Journal of Islamic Economic and Business is peer-reviewed journal published by program studi ekonomi syariah , Institut Agama Islam Negeri (IAIN) Palopo. Al-Kharaj focus on the research of Islamic Economic and Business. The aims of this journal is to explore and develop economic related ...