MENILAI KINERJA EKONOMI DAERAH DI PROVINSI SUMATERA SELATAN MENGGUNAKAN DATA ENVELOPMENT ANALYSIS

Abstract

In the context of regional development, measuring economic performance is an essential aspect in assessing the extent to which a region is able to optimally utilize its available resources. South Sumatra Province, with its diverse economic structure and abundant natural resources, faces challenges in achieving efficient and equitable economic growth across its regions. This study aims to evaluate the economic performance of 17 regencies/cities in South Sumatra Province, conduct benchmarking of regional economic performance that can serve as a reference for other regions, and provide policy recommendations to enhance regional economic growth performance. The study employs a quantitative non-parametric method using the Data Envelopment Analysis (DEA) approach. Four input variables; consumption, government expenditure, investment, and net exports are used, with Gross Regional Domestic Product (GRDP) serving as the output variable. The analysis results indicate that five regions achieved perfect efficiency (score = 1.000), namely Muara Enim Regency, Musi Banyuasin Regency, Penukal Abab Lematang Ilir Regency, Palembang City, and Pagar Alam City. Meanwhile, other regions still show lower efficiency levels due to suboptimal utilization of economic resources. Muara Enim Regency is identified as the main benchmark region for most other areas. These findings emphasize that regional economic performance is strongly influenced by the economic structure and the effectiveness of local resource management. Therefore, efforts to increase productive investment, strengthen exports, and enhance local economic bases are required to promote more efficient and sustainable economic growth in South Sumatra Province.

Keywords: Regional Economic Performance, Data Envelopment Analysis, Benchmarking, Economic Growth)