Factors Affecting the Quality of Local Government Financial Reports in Maluku Province
Ali Amin Kalau (a*), Ardianto (b)

a) Department of Accounting, Faculty of Economics and Business, Universitas Airlangga, Surabaya, Indonesia. *ali.amin.kalau-2021[at]feb.unair.ac.id
b) Department of Accounting, Faculty of Economics and Business, Universitas Airlangga, Surabaya, Indonesia

Abstract

Purposes: This study aims to evaluate the factors influencing the quality of local government financial reports (LKPD) in Maluku Province, focusing on the implementation of the Government Internal Control System (SPIP), Government Accounting Standards (SAP), and the risk management process.
Methods: This research is quantitative research using a survey method, where primary data is collected through distributing questionnaires. The sampling technique used was saturated sampling involving 68 respondents. Data were analyzed using Multiple Linear Regression techniques with SPSS software.
Result: The research findings indicate that the implementation of SPIP, understanding of SAP, and the application of risk management processes have a significant positive effect on the quality of the local government financial reports in the Maluku Province
Conclusion and Suggestion: These findings emphasize the importance of implementing internal control systems, understanding accounting standards, and effective risk management to improve the quality of local government financial reports. It is recommended that local governments conduct more training and outreach programs to strengthen employee understanding of SPIP and SAP and management risk processing. Additionally, periodic evaluations of the effectiveness of existing policies should be carried out to adapt to evolving needs.

Keywords: Quality of Local Government Financial Reports, Government Internal Control System, Government Accounting Standards, Risk Management Process

Topic: Public sector accounting