This study aims to provide empirical evidence about the effect of the Economic Growth,Surplus of Budget Financing, Local Government Original Revenue, General AllocationFund on Capital Expenditure in the district/city in North Sumatera. The sample in thisstudy wa 33 district/city in North Sumatera using purposive sampling method. Dataanalysis for this study uses multiple linear regression using t test, F test and coefficient ofdetemination. The partial test results of Surplus of Budget Financing, Local GovernmentOriginal Revenue and General Allocation Fund have a significant effect on CapitalExpenditure while the Economic Growth has no effect on Capital Expenditures. Economic Growth, Surplus of Budget Financing, Local Government Original Revenue, GeneralAllocation Fund simultaneously effect on Capital Expenditure the district/city in NorthSumatera.
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