top of page
Asian Institute of Research, Journal Publication, Journal Academics, Education Journal, Asian Institute
Asian Institute of Research, Journal Publication, Journal Academics, Education Journal, Asian Institute

Economics and Business

Quarterly Reviews

ISSN 2775-9237 (Online)

asian institute research, jeb, journal of economics and business, economics journal, accunting journal, business journal, managemet journal
asian institute research, jeb, journal of economics and business, economics journal, accunting journal, business journal, managemet journal
asian institute research, jeb, journal of economics and business, economics journal, accunting journal, business journal, managemet journal
asian institute research, jeb, journal of economics and business, economics journal, accunting journal, business journal, managemet journal
crossref
doi
open access

Published: 25 December 2022

Analysis of the Allocation of Priorities for the Use of Government Spending in Underdeveloped Regions in Indonesia

Suyanto, Wiwik Budiarti, Rahmawati Erma Standsyah, Muhammad Afdha Alif Almughni, Dendy Syahru Ramadhan

Dr. Soetomo University (Indonesia), Airlangga University (Indonesia)

asian institute research, jeb, journal of economics and business, economics journal, accunting journal, business journal, management journal

Download Full-Text Pdf

doi

10.31014/aior.1992.05.04.480

Pages: 305-313

Keywords: Sem-PLS, Underdeveloped Regions, Economic Development

Abstract

Indonesia is a developing country with one of the most substantial economic growths in the Asian region, in 2021, it will be able to register a growth reaching 5.44%. With rapid economic growth, it turns out that in Indonesia, many areas are still considered underdeveloped. The government continues to pursue various policies to support the development of Indonesia, one of which is Permendes number 13 2021, which explains that the use of village funds in 2021 is a priority to manage the covid pandemic and n is not permitted for the development of village infrastructure. This needs to be considered whether its application is appropriate or not. This study uses the Sem-PLS method, which examines the use of village funds against three criteria: the Facilities/Infrastructure, Economy, and HR. The results are that the village banks have the most significant effect on HR criteria, with a percentage of 20%, followed by economic criteria, with a ratio of 15%. Meanwhile, village funds have no significant effect on the facilities/infrastructure criteria, with a percentage of only 11.5%. The Facilities/Infrastructure criterion has little impact because, in disadvantaged regions, there is the problem of the uncertainty of the documents, leading to delays in the verification process. The government can overcome this by developing organizational strategies in underdeveloped areas so that such incidents do not occur. The government can use the results of this study to see what influence village funds have spent on underdevelopment criteria in underdeveloped areas.

References

  1. Abdul Sani.  (2017). Importance of HR Planning.  https://bkpsdmd.babelprov.go.id/content/pentingnya-perencanaan-sdm

  2. Agus  Sandra, T., Hidayat, J. T. & Yogie Syahbandar, M. (2020). DEVELOPMENT OF  UNDEVELOPED AREAS IN SERUYAN DISTRICT, CENTRAL KALIMANTAN PROVINCE. JURNAL  ONLINE MAHASISWA (JOM) BIDANG PERENCANAAN WILAYAH & KOTA, 1(1).

  3. Alexandro  Rinto, Hariatama Fendy & Saputra Seno. (2021). Analysis of the Utilization  of Village Funds in Improving the Community's Economy. Anterior Jurnal,  21(1), 86–92.

  4. Arifin, B.,  Wicaksono, E., Tenrini, R. H., Wardhana, I. W., Setiawan, H., Damayanty, S.  A., Solikin, A., Suhendra, M., Saputra, A. H., Ariutama, G. A., Djunedi, P.,  Rahman, A. B. & Handoko, R. (2020). Village fund,  village-owned-enterprises, and employment: Evidence from Indonesia. Journal  of Rural Studies, 79, 382–394.  https://doi.org/10.1016/J.JRURSTUD.2020.08.052

  5. Bukit Benjamin,  Malusa Tasman & Rahmat Abdul. (2017). HUMAN RESOURCE DEVELOPMENT (Arypena,  Ed.). Zahir Publishing.

  6. Djuwendah,  E., Hapsari, H., Renaldy, E. & Saidah, Z. (2013). DEVELOPMENT STRATEGIES  IN GARUT REGENCY. Jurusan Sosial Ekonomi Fakultas Pertanian Universitas  Padjadjaran, 15(2).

  7. Dou, H.,  Ma, L., Liu, S. & Fang, F. (2021). Identification of rural regional  poverty type based on spatial multi-criteria decision-making—taking Gansu  Province, an underdeveloped area in China, as an example. Environment,  Development and Sustainability 2021 24:3, 24(3), 3439–3460.  https://doi.org/10.1007/S10668-021-01573-Z

  8. Elsa.  (2014). DEVELOPMENT STRATEGY OF UNDEVELOPED VILLAGES IN NAGARI BATU BANYAK,  LEMBANG JAYA, SOLOK DISTRICT. Jurnal Spasial, 1(1).

  9. Fallah  Haghighi, N. & Bijani, M. (2019). A gap analysis between current and  desired situation of economic factors affecting human resources development in  Iran. GeoJournal 2019 85:4, 85(4), 1175–1190.  https://doi.org/10.1007/S10708-019-10017-1

  10. Faoziyah,  U. & Salim, W. A. (2016). Proliferation Pattern in Underdeveloped Region:  Is it the Real Solution to Solve Underdeveloped Region’s Problem in  Decentralized Indonesia? Procedia - Social and Behavioral Sciences, 227,  824–832. https://doi.org/10.1016/J.SBSPRO.2016.06.151

  11. Ghozali  Imam. (2017). Structural Equation Modeling Metode Alternatif Dengan Partial  Least Squares (PLS) (4th ed.). Universitas Diponegoro Semarang.

  12. Guimarães,  J. A. & Humann, M. C. (1995). Training of human resources in science and  technology in Brazil: The importance of a vigorous post-graduate program and  its impact on the development of the country. Scientometrics 1995 34:1,  34(1), 101–119. https://doi.org/10.1007/BF02019176

  13. Hasmin  & Nurung Jumiaty. (2021). HUMAN RESOURCE MANAGEMENT (Naim Muh.  Rezky, Ed.). Mitra Cendikia Media.

  14. Jaya I Gede  Nyoman Mindra & Sumertajaya I Made. (2008). STRUCTURAL EQUATIONS MODELING  WITH PARTIAL LEAST SQUARE. Semnas Matematika Dan Pendidikan Matematika.

  15. Kementerian  Desa, P. D. T. D. T. R. I. (2018). DITJEN PDT: DOCUMENT PREPAREDNESS  DOESN'T HOLD THE ACCELERATION OF FACILITIES AND INFRASTRUCTURE DEVELOPMENT.  https://kemendesa.go.id/berita/view/detil/2730/ditjen-pdt-kesiapan-dokumen-jangan-menghambat-percepatan-pembangunan-sarana-dan-prasarana

  16. PERMENDES  PDTT NO. 13, (2020).

  17. Kominfo RI.  (2015). The reason why Indonesia is called the sleeping Asian tiger. https://www.kominfo.go.id/content/detail/4685/kaa-2015-indonesia-macan-asia-yang-bukan-sekadar-legenda/0/sorotan_media

  18. Larasati  Dyah Utami. (2021). Indonesia's literacy level in the world is low, ranking  62 out of 70 countries. https://perpustakaan.kemendagri.go.id/?p=4661

  19. Larasati  Sri. (2018). Human Resource Management. DEEPUBLISH.

  20. Lu, C. J.,  Feng, Y. & Chen, D. W. (2013). Innovative and entrepreneurship education  in underdeveloped Western regions of China. 19th International Conference  on Industrial Engineering and Engineering Management: Assistive Technology of  Industrial Engineering, 1023–1029.  https://doi.org/10.1007/978-3-642-38391-5_108/COVER

  21. Masduki,  U., Rindayati, W. & Mulatsih, S. (2022). How can quality regional spending  reduce poverty and improve human development index? Journal of Asian  Economics, 82, 101515. https://doi.org/10.1016/J.ASIECO.2022.101515

  22. Peraturan  Menteri Keuangan Republik Indonesia, (2021).

  23. Nugroho,  A., Fajri, Iqbal, R. M., Fadhiela, K., Apriyani, D., Ginting, L. N. &  Nurdin, S. (2022). Impacts of village fund on post disaster economic recovery  in rural Aceh Indonesia. International Journal of Disaster Risk Reduction,  70, 102768. https://doi.org/10.1016/J.IJDRR.2021.102768

  24. Oktavilia,  S. (2011). Development of Local Economic Potential of Disadvantaged Regions as  an Effort to Overcome Inter-Regional Income Disparities in Central Java  Province. Prosiding Seminar Nasional Penelitian Dan PKM: Sosial, Ekonomi, dan  Humaniora.

  25. Ou, Z.  rong, Zhu, Q. ke & Sun, Y. yu. (2017). Regional ecological security and  diagnosis of obstacle factors in underdeveloped regions: a case study in  Yunnan Province, China. Journal of Mountain Science 2017 14:5, 14(5),  870–884. https://doi.org/10.1007/S11629-016-4199-5

  26. PP Nomor 60  Tahun 2014, Peraturan Pemerintah (2014).

  27. PERPRES RI  NO. 63, (2020).

  28. PERPRES RI  NO. 63, (2020).

  29. Priyono.  (2010). Human Resource Management (Chandra Teddy, Ed.). Zifatama  Publishing.

  30. Rachmah  Wahidah, N., Anggraini, K., Unik Desthiani, dan & Prodi Sekretari D-III  Universitas Pamulang, D. (2022). DEVELOPMENT STRATEGIES FOR UNDEVELOPED  REGIONS IN EFFORTS TO ACCELERATE RURAL ECONOMIES IN BADUY, BANTEN. Jurnal  Sekretari |, 9(1).

  31. Rano, O., Stie,  A. & Sekayu, R. (2018). ANALYSIS OF VILLAGE FUNDS MANAGEMENT. JEMASI,  14(1).

  32. Rika  Fatimah, P. L. (2012). The development of FFMD Pyramid: Fuzzy Family_Marriage  Deployment as a decision support method to improve human resources  performance. Quality & Quantity 2012 48:2, 48(2), 659–672.  https://doi.org/10.1007/S11135-012-9793-1

  33. Robinson-Barnes,  C. J. (1996). Promoting economic development in the inner city: The importance  of Human Resources. The Review of Black Political Economy 1997 24:2, 24(2),  123–129. https://doi.org/10.1007/BF02690026

  34. Ronaldo, R.  & Suryanto, T. (2022). Green finance and sustainability development goals  in Indonesian Fund Village. Resources Policy, 78, 102839.  https://doi.org/10.1016/J.RESOURPOL.2022.102839

  35. Septianingsih,  P. (2021). ANALYSIS OF VILLAGE FUND MANAGEMENT IN IMPROVING VILLAGE  DEVELOPMENT (CASE STUDY IN CIBITUNG WETAN VILLAGE). Jurnal Ilmiah Akutansi  Dan Keuangan, 16(1).  http://ejournal.uikabogor.ac.id/index.php/neraca/index

  36. Sofyan  Tsauri, I. H. (2017). HUMAN RESOURCES (Afandi Moh. Nor, Ed.). IAIN  Jember Press.

  37. Suyanto,  Purnomo, B. & Erma Standsyah, R. (2019). IMPACT OF EDUCATION AND HEALTH ON  THE UNEMPLOYMENT RATE AND ECONOMY OF EAST JAVA. Sinergi: Jurnal Ilmiah Ilmu  Manajemen, 9(2).

  38. Suyanto,  S., Purnomo, B. & Standsyah, R. (2019, October 7). The Influence of  Education on The Depressing of Unemployment and The Increasing of The Society  Economy in East Java. https://doi.org/10.4108/eai.30-7-2019.2287579

  39. Syahza, A.  & Suarman, D. (2013). DEVELOPMENT STRATEGIES IN UNDERSTANDING REGIONS IN  EFFORTS TO ACCELERATE RURAL ECONOMIC DEVELOPMENT. In Jurnal Ekonomi  Pembangunan (Vol. 14, Issue 1).

  40. Tumbelaka,  H. I. A., Elim, I. & Kalalo, M. (2020). Analysis of case study village  fund management in the District of Tatapaan, South Minahasa Regency. Indonesia  Accounting Journal, 2(2), 74. https://doi.org/10.32400/iaj.27703

  41. Valentina  Tengku Rika, Putera Roni Ekha & Safitri Cici. (2020). Analysis of Village  Fund Utilization During the Covid-19 Pandemic in Nagari Talang Anau, Fifty  Cities District. Prosiding Simposium Nasional Multidisiplin Universitas  Muhammadiyah Tangerang.

  42. Vinzi  Esposito Vinzi, Chin Wynne W., Henseler Jörg & Wang Huiwen. (2010). Handbook  of Partial Least Squares (1st ed.). Springer Berlin, Heidelberg.

  43. Windisch,  R., Wyss, K. & Prytherch, H. (2009). A cross-country review of strategies  of the German development cooperation to strengthen human resources. Human  Resources for Health, 7(1), 1–8.  https://doi.org/10.1186/1478-4491-7-46/TABLES/1

  44. Wirman  Syafri & Alwi. (2014). Human Resource Management In Public  Organizations.

  45. Xiao, Y.,  Chai, J., Wang, R. & Huang, H. (2022). Assessment and key factors of urban  liveability in underdeveloped regions: A case study of the Loess Plateau,  China. Sustainable Cities and Society, 79, 103674. https://doi.org/10.1016/J.SCS.2022.103674

bottom of page