Political Support for the Performance of Regional-Owned Enterprises (BUMD) in South Sulawesi Province
Abstract
This study examines the relationship between political support and the performance of Regional-Owned Enterprises (Badan Usaha Milik Daerah or BUMD) in South Sulawesi Province.As instruments of regional development, BUMDs play a strategic role in increasing locally generated revenue, expanding employment opportunities, and strengthening local economic resilience.However, their performance often faces challenges, both from internal governance issues and external factors influenced by political dynamics.This study aims to analyze the forms of political support provided by local governments, legislatures, and other stakeholders for BUMD performance, as well as to formulate an ideal model of support to enhance the sustainability of regional enterprises.A qualitative approach with a case study design was employed, focusing on PT Sulsel Citra Indonesia (PT SCI) as one of the strategic BUMDs owned by the Government of South Sulawesi Province.Data were collected through in-depth interviews with local government officials, legislators, BUMD management, academics, and community representatives, complemented by policy document analysis and field observations.Thematic data analysis was conducted to identify patterns in the relationship between political support and BUMD performance.The findings reveal that political support significantly influences BUMD performance.Executive political support is manifested through policies, regulations, and capital participation, while the legislature contributes through its oversight and budget approval functions.Furthermore, public and stakeholder participation reinforces transparency and accountability.The study concludes that regulatory consistency, constructive legislative oversight, and multistakeholder collaboration are essential elements for improving the performance and sustainability of BUMDs in South Sulawesi.
Fields of Study & Subjects
Public Administration in Developing Nations
Economic Growth and Fiscal Policies
Local Governance and Development
Publication details
- Journal / source
- Advances in Social Science, Education and Humanities Research/Advances in social science, education and humanities research
- Pages
- 198–209
- Publication date
- 1 January 2026
- Language
- EN