The Impact of Regional Original Income, Capital Expenditure, and Economic Growth on the Financial Performance of Local Governments in the Surakarta Residency from 2015 to 2020

This study aims to analyze the effect of local revenue, capital expenditure and economic growth on the financial performance of local governments in the former Surakarta residency in 2015-2020. This research is included in quantitative research. The population of this research are districts/cities in Soloraya. The samples collected in this study were 42 local government financial reports in 7 districts/cities during the 2015-2020 period. The data used is secondary data where the data is obtained from the BPS for each district/city. SPSS 26 is used in research as an analytical tool. The results of this study indicate that (1) Regional Original Income has a Positive and Significant Effect on Regional Financial Performance. (2) Capital Expenditure has no effect on Regional Financial Performance. (3) Economic Growth Has a Positive and Significant Effect on Regional Financial Performance.