Financial Performance and Economic Growth of Government in the Province of Papua in the Pandemic

Abstract

The study on the analysis of the Papua Provincial Government's financial performance during the pandemic aims to determine the development of Regional Original Revenue and direct expenditure budgets, and the effect of Regional Original Revenue (PAD) and direct expenditure on economic growth. This research was a descriptive quantitative study using time series data from 2016-2020 which data source was secondary data from the Papua Provincial Government budget realization report. Papua Provincial Government in 2020 experienced a decline of 22.76%. This decline was of course due to the COVID-19 pandemic which resulted in the implementation of a restriction or lockdown policy to limit the movement of people in an effort to suppress the spread of the virus. While the results of the analysis of the effect of local revenue and capital expenditure on economic growth indicate that local revenue has a negative and insignificant effect, while capital expenditure has a positive but not significant effect.