PENGARUH DANA PERIMBANGAN, BELANJA MODAL DAN PENDAPATAN ASLI DAERAH TERHADAP KINERJA KEUANGAN PEMERINTAH DAERAH KABUPATEN/ KOTA PROVINSI RIAU TAHUN 2017-2021

Abstract

The purpose of this study is to analyze the effect of balancing funds on the financial performance of district/city local governments in Riau Province during 2017–2021, to analyze the effect of capital expenditure on the financial performance of district/city local governments in Riau Province during 2017–2021, to analyze the effect of locally generated revenue on the financial performance of district/city local governments in Riau Province during 2017–2021, and to analyze the simultaneous effect of balancing funds, capital expenditure, and locally generated revenue on the financial performance of district/city local governments in Riau Province during 2017–2021. The object of this study is the district/city governments in Riau Province for the period 2017–2021. The sample consists of 12 districts/cities in Riau Province over a five-year period, resulting in a total of 60 observations. The sampling technique used is purposive sampling. The research data are secondary data obtained by downloading data from relevant government websites. The analytical method used is multiple linear regression. The results of the study indicate that: (1) balancing funds have an effect on the financial performance of local governments; (2) capital expenditure has an effect on the financial performance of local governments; (3) locally generated revenue has an effect on the financial performance of local governments; and (4) balancing funds, capital expenditure, and locally generated revenue simultaneously affect the financial performance of district/city governments in Riau Province.