DETERMINANTS OF VILLAGE FINANCIAL MANAGEMENT PERFORMANCE (CASE STUDY IN BANTUL REGENCY, YOGYAKARTA, INDONESIA)

Abstract

This study aims to determine the relationship between capacity of village’s apparatus, regulatory compliance, use of information technology, quality supervision by BPD, commitment of village’s apparatus, village facilitators, and society participation towards village financial management performance in Bantul regency. The objects in this study were 30 villages in Bantul Regency. This study uses the subject of village finance managers, namely the Village Head and Executor of Village Financial Management (PPKD) consisting of the Village Secretary, and Kaur finance. This research method uses a survey method with a questionnaire. The analytical tool used is SPSS Spearman rank correlation test. Based on the statistical analysis, the results show that there is a strong relationship between capacity of village’s apparatus, regulatory compliance towards village financial management performance. Meanwhile use of information technology, quality supervision by BPD, commitment of village’s apparatus, village facilitators, and society participation do not have strong relationship. This means there is a need to improve knowledge, skill, attitude of village apparatus in order to improve village fund management in Indonesia.