Education financing is a crucial aspect of improving school quality; however, the quality of education in Indonesia continues to face various challenges despite steadily increasing budget allocations. This situation indicates a mismatch between school needs and the effectiveness of fund utilization. This study aims to analyze the relevance of education financing to school quality in Indonesia by examining funding adequacy, budget management effectiveness, and obstacles to optimizing funding. A descriptive approach was employed, utilizing a literature review based on scholarly articles, government regulations, and official reports. The findings indicate that adequate and well-targeted financing directly impacts the availability of facilities and infrastructure as well as the enhancement of teacher professionalism. Effective budget management also fosters innovative, learner-centered instruction. Key obstacles include inequitable budget distribution, delays in fund disbursement, and limited financial management capacity. Consequently, improving school quality in Indonesia relies heavily on financing that is adequate, well-targeted, and managed with accountability.
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