The Effect of Participation and Accountability on Regional Financial Management in Terban Village, Yogyakarta City

Abstract

Transparent and accountable regional financial management is a key prerequisite for achieving good governance. One of the crucial elements that contributes to this is community participation. This study aims to analyze the influence of community participation and accountability on the financial management of the Terban Sub-district, Yogyakarta City. This research uses a quantitative approach with primary data obtained through questionnaires distributed to 40 community respondents. The data analysis technique applied was multiple linear regression, preceded by validity, reliability, and classical assumption tests. The results indicate that community participation has a positive and significant effect on financial management, while accountability does not show a significant influence. The simultaneous test reveals that both variables jointly influence financial management, with an adjusted R² value of 18.8%. This suggests that 81.2% of the variation in financial management is influenced by other factors not included in the model. These findings emphasize the importance of strengthening participatory mechanisms and enhancing public literacy in financial systems. The implications of this study provide recommendations for local governments to improve information transparency and encourage inclusivity in budget decision-making processes.