The Influence of Leverage, Intergovernmental Revenue, and Capital Expenditure on The Level of Disclosure of Local Government Financial Reports (A Study on District/City Governments in Central Sulawesi Province from 2020 to 2023)

Abstract

This study analyzes the effect of leverage, intergovernmental revenue, and capital expenditure on the level of disclosure of local government financial reports (LKPD) in districts and cities in Central Sulawesi Province during the 2020-2023 fiscal year. This study uses a quantitative approach using secondary data from 52 audited LKPD reports. The results of the analysis show that intergovernmental revenue has a significant negative effect on the level of LKPD disclosure, while leverage and capital expenditure do not show a significant effect. This finding suggests that local governments that rely heavily on transfers from the central government are less motivated to present transparent financial information. In addition, high levels of capital expenditure and leverage do not necessarily encourage increased financial disclosure practices