The Effect of Transparency, Accountability, Discretionary Accruals and Total Assets on Corruption Levels in Indonesian Provinces

Presenters: Eni Yulianti, Anim Rahmayati
Affiliation: UIN Raden Mas Said Surakarta
Room: 10

ICIES News- At the 4th International Conference on Islamic Economics Studies (ICIES) 2024, Eni Yulianti and Anim Rahmayati from UIN Raden Mas Said Surakarta presented their research titled “The Effect of Transparency, Accountability, Discretionary Accruals, and Total Assets on Corruption Levels in Indonesian Provinces.” The session, held in Room 10, provided valuable insights into the persistent issue of corruption in Indonesia.

Corruption remains a significant challenge in Indonesia, with increasing incidents reported annually. This study aimed to empirically re-examine how transparency, accountability, discretionary accruals, and total assets impact corruption levels across Indonesian provinces. The researchers employed a quantitative approach using panel data regression analysis, with data collected from 31 provinces over the period 2021-2022, resulting in a sample of 61 data points.

The findings revealed that transparency and accountability do not have a significant impact on corruption levels in Indonesian provinces. Similarly, the value of discretionary accruals was not proven to reduce corruption. However, total assets were found to have a significant positive influence on corruption levels, indicating that higher total assets are associated with increased corruption.

These results suggest that current measures of transparency and accountability may not be sufficient in combating corruption effectively. Instead, the study highlights the need to focus on managing and monitoring the use of total assets to prevent corruption.

Yulianti and Rahmayati emphasized the importance of these findings for government policy. They suggested that the government should enhance its anti-corruption strategies, focusing on effective asset management and developing robust policies to curb corruption. Their research provides a foundation for policymakers to re-evaluate and strengthen their efforts in preventing corruption, ensuring more effective and targeted interventions.

The presentation concluded with a call for continued research and policy development to address the complexities of corruption, leveraging the study’s insights to foster a more transparent and accountable governance framework in Indonesia.

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