The  Influence of Village Fund, Village Fund Allocation, and Village Original Revenue on the Village Development Index: A Case Study Of Sukoharjo District, Pringsewu Regency

Tifani Rosma Dewi; Marselina Djayasinga

doi:10.63922/ijebir.v5i04.4166

Tifani Rosma Dewi Department of Development Economics, Faculty of Economics and Business, University of Lampung, Indonesia
Marselina Djayasinga Department of Development Economics, Faculty of Economics and Business, University of Lampung, Indonesia

DOI: https://doi.org/10.63922/ijebir.v5i04.4166

Keywords: Village Development Index, Village Fund, Village Fund Allocation, Village Original Revenue, Scatter Plot

Abstract

Village development remains a central priority in Indonesia's national agenda, yet unequal outcomes across villages continue to pose a significant challenge. This study examines the influence of Village Fund (DD), Village Fund Allocation (ADD), and Village Original Revenue (PAD) on the Village Development Index (IDM) across 16 villages in Sukoharjo District, Pringsewu Regency, Lampung Province, during the period 2021–2023. Using a quantitative approach with scatter plot analysis, the findings show that ADD has the most consistent and dominant positive relationship with IDM, while DD shows a positive but inconsistent pattern, indicating that fund management quality outweighs allocation size. PAD shows a negligible relationship with IDM, confirming that most villages remain highly dependent on external government transfers. Overall, this study concludes that village development success is determined more by how funds are managed than by how much is received, and contributes micro-level empirical evidence with practical policy implications for strengthening village fiscal governance in Indonesia.

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