The Contribution of Village Owned Enterprises in Improving Rural Economy in Nagan Raya Regency

Wahyuddin Wahyuddin, Ar Royyan Ramly, Muslim A. Djalil, Mirna Indriani

Abstract


This study aims to analyze the influence of the contribution of Village-Owned Enterprises (BUMDes) in Improving the Economy and welfare of rural communities in Nagan Raya district. Nagan Raya, with a wealth of potential villages, owned such as agriculture, plantations, animal husbandry, and small industries. However, the management of BUMDes in Nagan Raya Regency has not been maximized. The research sample in ten sub-districts in Nagan Raya that has a Village-Owned Enterprises (BUMDes) is selected BUMDes that are already running or active in each district. The research sample locations were taken by Gampong Langkak, Gampong Purworejo, Gampong Cot Kumbang, Gampong Alue Peusaja, Gampong Alue Gajah, Gampong Krueng Itam, Gampong Garu, And Gampong Simpang Peut. This study uses a quantitative approach and uses descriptive statistical estimates, to the contribution of BUMDes to economic improvement in Nagan Raya district. The dependent variable used is the Village Growth Percentage (Y), while the independent variable used is Social Capital (X1), Regional Potential (X2), Human Resources (X3). The results showed the influence of the three Social Capital Variables (Log_X1), and Regional potential (Log_X2) influencing the contribution of BUMDes in improving the economy in the village. While Human Resources (Log_X3) does not significantly influence the contribution of BUMDes in improving the economy in Kabupaten Nagan Raya. From the F test results obtained F-count = 3.648 with p-value = 0.026 <0.05 so it can be concluded that H1 is accepted.

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References


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