The digitalization of community-based institutions is crucial for improving transparency and accountability in financial governance in rural areas. However, institutions such as the Village Forest Management Institution (LPHD) still rely on manual, non-standardized, and error-prone record-keeping. This study developed a responsive and simple digital financial system to address the limited digital literacy and technical conditions of the Darunu Village LPHD. The study used a qualitative approach and participatory design to ensure the application's suitability to user needs, through needs analysis, prototype development, and field trials. The results showed that the application was able to improve record-keeping, clarify cash flow, and strengthen the institution's financial transparency. The novelty of this research lies in the development of a digital financial application specifically designed for LPHDs, taking into account the socio-technical context of forest villages, unlike village financial applications that are generally oriented towards formal government apparatus. The contribution of this research is to present a replicable, lightweight financial system model for community-based forest institutions and provide a participatory design framework for digitizing village administration. These findings confirm that contextual digital solutions can be an effective approach to strengthening financial governance in forest village communities.
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