Ecology, Environment and Conservation Paper

CAPACITY BUILDING OF LOCAL GOVERNMENT IN FINANCIAL MANAGEMENT TOWARDS SUSTAINABLE DEVELOPMENT GOALS (SDGS)

Khairul Rahman, Yusri Munaf, Rahyunir Rauf, Ranggi Ade Febrian, Muhammad Rizal Razman, Nuriah Abd. Majid and Sharifah Zarina Syed Zakaria

Abstract

Capacity building is a strategy to improve government performance. The factual condition of the amount of funds received by the local government and the gap between capacity and needs in local financial management requires the development of local government capacity in financial management. The success of local financial management is very much determined by the capacity of the local government in meeting the needs and demands of the community. Capacity building to improve government performance that is efficient, effective, responsive and sustainable generally focuses on developing human resources, developing organizations and systems. From the researchers’ identification of the theories and ideas used, then juxtaposed with empirical phenomena, this study offers capacity building of local governments from the dimensions of human resource development, dimensions of organizational strengthening, dimensions of networking, leadership dimensions and dimensions of institutional or system reform. Another finding is that the existing dimension in capacity building is a series of systems that influence and need each other. Capacity building is crucial and guarantees the implementation of an effective, efficient, responsive and sustainable cycle of local financial management activities in order to achieve Sustainable Development Goals (SDGs).