The Influence of Regional Financial Performance on Capital Expenditures and Economic Growth in Each Regency / City in Bali Province

The objectives of regional financial management are economical, effective and efficient

and meet the principle of value for money both in terms of income and

expenditure. Financial performance shows the financial position that represents reality

entity and performance potential that will continue, so show

how a region can allocate funds through working capital

in the end the aim is to increase the community economy.

The purpose of this determination is to determine the effect of financial performance

regions on capital expenditure significantly, to find out the effect

capital expenditure on significant economic growth, as well as for

know the indirect effect of regional financial performance on

economic growth.

This research uses census data which is the whole

districts and cities in the province of Bali. The analysis technique used is SEM

(Structural Equation Model) with the help of the PLS program. Data used

in this study using the time series from 2012-2016.

The analysis found that the relationship between financial performance

on capital expenditure has a significant effect on capital expenditure

economic growth has no significant effect, and regional financial performance

on economic growth has no significant effect.

Keywords: Regional Financial Performance, Capital Expenditures, and Growth

The economy.