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Mapping of Human Development Index in Regencies/City Over South Sumatera Siti Rohima Liliana M

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Mapping of Human Development Index in Regencies/City Over South Sumatera Siti Rohima Liliana M Advances in Economics, Business and Management Research, volume 142 5th Sriwijaya Economics, Accounting, and Business Conference (SEABC 2019) Mapping of Human Development Index in Regencies/City Over South Sumatera Siti Rohima Liliana M. Komri Yusuf Department of Economics Department of Economics Department of Economics Development Development Development Sriwijaya University Sriwijaya University Sriwijaya University [email protected] [email protected] [email protected] Muhammad Riswan Department of Economics Development Sriwijaya University [email protected] Abstract— The purpose of this study is to Mapping the Human government and from the regions, the policy for the use of all Development Index (HDI) in Regencies/Cities in South Sumatra. funds is left to the regional governments (13). Local The data used are secondary data from 15 regencies/cities governments are considered to be more effective in carrying during the period 2010-2017. The research method is descriptive out development in the regions, because they already know quantitative with Klassen Typology analysis. Klassen's typology and know what the potentials and needs of the region calculation results stated that quadrant I was Palembang. Quadrant II covers Musi Banyuasin, Muara Enim and concerned. This can be implemented in the development Banyuasin Regency. Quadrant III covers Ogan Komering Ulu process. Regency, Prabumulih City and Lubuk Linggau City. Quadrant The development process can be interpreted as a series of IV covers Lahat, Musi Rawas, Ogan Ilir, East OKU, South social, economic and institutional activities in order to OKU, Empat lawang Regency and Pagaralam City. improve the quality of human life. Todaro and Smith (11) explained that in the development process there are three Keywords: Human Development Index, poverty, economic main objectives that must be achieved, namely the fulfillment growth, Klassen Typology of basic needs; an increase in the quality of living standards such as income, employment, and quality of education; and I. INTRODUCTION the ability of the economy to make choices in the community. Regional autonomy gives the authority to regional for According to Todaro (12) Development is defined as a exploring the potential and sources of regional revenue as multidimensional process that involves a variety of funds to manage their respective regions. As confirmed by fundamental changes in social structure, social behavior, and Suparmoko [10], regional autonomy is defined as the social institutions, in addition to accelerating economic authority of autonomous regions to regulate and manage the growth, equitable distribution of income inequality, and interests of local communities according to their own eradicating poverty. So the purpose of development itself is initiatives based on community aspirations. The regional to improve the welfare of the community. The indicator used autonomy policy, in which each region has the right, to see the success of development is economic growth. authority and obligation to regulate and manage its own South Sumatra Province is known as a province that has government affairs and the interests of the local community a lot of natural resources from the mining, plantation and in accordance with applicable laws and regulations in order agriculture sectors. The added value of each sector will form to improve the effectiveness and efficiency of government the Gross Regional Domestic Product (GRDP) figure. PDRB administration and improve services to the community. per capita in South Sumatra Province in 2017 reached a value According to Law No.23 of 2014 concerning regional of Rp.46.42 million and ranked 15th nationally. Changes in government, to support the implementation of regional the value of a region's GRDP compared to the previous year government, the central government will provide a balanced illustrate the economic growth that occurred in that region. budget allocation to the regional government. Where the fund Figure 1.1 shows the development of economic growth and consists of the General Allocation Fund (DAU) whose achievement of HDI values in South Sumatra Province and allocation is devolved to the local government, the Special nationally from 2010 to 2017. Allocation Fund (DAK) which allocates according to the central government programs in the region or based on regional demand regarding national needs. And funds for tax and non-tax revenue sharing. In addition to obtaining budget allocations from the central government, local governments are also expected to be able to improve their own financial capabilities through increased independence, so that the economy in the regions can truly develop. The Regional Revenue itself aside from the central government transfer allocation also comes from the Regional Own Revenue (PAD), Regional Loans (PD) and other legal income. After all regional income has been collected both from the central Copyright © 2020 The Authors. Published by Atlantis Press SARL. This is an open access article distributed under the CC BY-NC 4.0 license -http://creativecommons.org/licenses/by-nc/4.0/. 120 Advances in Economics, Business and Management Research, volume 142 Figure 1. Economic Growth and HDI of South Sumatra Original Revenues of the Regency/City of South Sumatra Province and National amounted to Rp1,349,540,048,418 and constitute the lowest Economics Growth HDI Regional Original Revenue, in 2017 the total Regional 8 72 Original Revenue was Rp3,008,610,799,644 and is the highest. The number of poor people has decreased from 70 7 6,83 2013-2017, in 2013 the total number of poor people was 1,104.58 (in thousand) this was the highest number, and in 6,38 6,36 68 2017 it was 1,023.72 (in thousand) and was the lowest 6 66 number. The total regency/city Regional Spending in South 6,17 6,03 5,56 5,53 5,03 5,51 Sumatra also experienced ups and downs (fluctuations) 5,01 64 4,88 5,07 which in 2013 amounted to Rp20,455,717,277,449, and in 5 5,31 5,02 62 2017 Rp25,189,433,616,516. Budget breakdown of BPKP 4,76 4,42 Representatives of South Sumatra Province 2017 Fiscal 4 60 Year is as follows: Types of Initial Budget Spending (Rp) 2010 2011 2012 2013 2014 2015 2016 2017 Revised Budget (Rp) Employee Spending 21,994,158,000, IPMPROVIINCE Sumsel HDI Goods Spending 5,918,531,000 and Capital Expenditures 0. IPMNATIONAL Nasional HDI The size of the regional expenditure is caused by several Source: Indonesia Statistic Agency (BPS) factors which influence which if these factors are managed Economic growth in South Sumatra Province has shown well it will increase regional expenditure and if regional steady improvement over the past eight years as shown in expenditure increases the need for regional interests will the figure. The economic growth of South Sumatra Province also increase and make the economy better and reduce during the period 2010-2017 showed a fluctuating value and poverty (8). The number of poor people in the province of in 2017 it reached a value of 5.51 percent. This figure is South Sumatra in 2006-2015 numbered more than one greater than the achievements of Indonesia's economic million people. In 2006-2013 the poverty level showed a growth in 2017 which only reached 5.05 percent. decrease. In 2014 and 2015 which experienced an increase In an effort to spur regional development, it requires a in the number of poor population of 1,085.8 million in 2014 sizable allocation of funds from the regional government and 1,145.6 million in 2015 with a percentage of 13.62 which is reflected in the expenditure post consisting of percent in 2014 and 14.25 percent in 2015 compared to the routine expenditure and development expenditure. Regional previous year of 1,043.6 million people with a percentage of government expenditure reported by the regional 13.48 percent in 2013 (BPS, 2015). At present the government in the local budget is a routine activity of percentage of poor people in South Sumatra Province is still regional cash expenditure to finance activities in quite high, reaching 14.80, this figure is far below the government. The higher the government expenditure, the national target in 2015 of 7.5 percent. greater funds are needed so that spending for local Poor population is a problem that exists in the province government needs can be met. Increasing government of South Sumatra. The largest number of poor people in spending, it is hoped that service to the community will be South Sumatra province in the past seven years, namely in better. Regional expenditure is used to fund all government 2015, amounted to 1.085 million people or 13.62% of the affairs that are the authority of provinces and regency/cities total population in that year. To see the development of the that have been submitted to the respective regional heads. number of poor people in South Sumatra can be seen in the Optimization Regional expenditure is able to have a good following figure 2. impact on the economy. Regional spending is grouped into two types, namely indirect spending and direct expenditure. Figure 2. Regency/City poverty rate in South Sumatra Indirect expenditure includes employee expenditure, interest 30 expenditure, subsidy expenditure, grant expenditure, social 2008 assistance expenditure, expenditure for gift to the 25 province/regency and village government, expenditure for 2009 financial assistance to province/regency and village 20 2010 government, while direct expenditure includes employee 2011 expenditure, goods and services, capital expenditure. 15 2012 South Sumatra Province has 13 Regencies and 4 Cities 10 in carrying out regional autonomy and decentralization is 2013 demanded to be able to manage its own financial. Regional 5 2014 financial management in regencies/cities in South Sumatra can be seen from the financials of each region. Based on 0 2015 data obtained from the Central Statistics Agency of South 2016 Sumatera and from the web www.djpk.kemenkeu.go.id, the 2017 total GRDP of regency/city in South Sumatra has always been increasing.
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