The Analysis of Financial Performance of Bengkulu Government: Approach to the Degree of Fiscal Decentralization

Abstract

. This study aims to analyze the financial performance of the Bengkulu Government with a degree of fiscal decentralization approach and to determine the effect of the regional original income (PAD) component on the Financial Performance of Bengkulu Government. The data used in this study was secondary data in the form of time series data and processed by multiple linear regression analysis tools (multiple regression). The empirical results of this study indicate that based on the calculation of the degree of fiscal decentralization ratio, the financial capacity of Bengkulu City is still at a very low capability level which is founded a very large difference between government spending and regional opinion. So it appears that Bengkulu Government still relies on assistance from the central government and was not independent yet. This can be an underline for local government to improve their ability being more independent and capable. value is obtained 3,345 (positive value) with a probability of 0,0053 and with an lA of 3,717. This shows that partially local