Measuring Good Public Governance in the Local Governments of Indonesia: A Multidimensional Index

Abstract

This study aimed to fill the gap by measuring and examining the level of GPG for local governments in Indonesia. The study used a multidimensional index by incorporating information from the Indonesia Governance Index (IGI) principles indicators, the Evaluation of local government performance reports, the annual reports of local governments financial statement and the Central Bureau of Statistics from 2015 to 2017. The Two-staged Factor Analysis was employed for weights assignment. The results are presented based on comprehensive scores and ranks for five district and city levels of the local governments which had have the highest and lowest values for each GPG principle and overall GPG index. The findings showed that there was evidence of an increasing trend on the implementation of GPG principles in the local governments. There were also evidence on the lack of information regarding which indicators needed to be improved, due to lack of awareness among the local governments on importance of quality application of the GPG principles in the government system. It implies that the central government focused on performance evaluations, rather than implementation of GPG in local governments. The findings suggest that it is useful for the local governments to measure the level of good public governance using the multidimensional GPG index rather than using a single dimension. Keywords: good public governance, multidimensional index, local government of Indonesia