THE IMPACT OF SPECIAL AUTONOMY FUNDS ON POVERTY LEVELS IN PAPUA PROVINCE

Abstract

This study analyzes the impact of Special Autonomy Funds (SAF) on poverty levels in Papua Province. Despite the increase in regional development budgets due to the SAF, the poverty level in Papua remains high, reaching 27.38% in September 2021. This study employs time series regression analysis to examine data from 2010 to 2021. The results indicate that SAF significantly contributes to poverty reduction, with each increase in SAF resulting in a 6.558% decrease. However, poverty rates continue to stagnate because of other unidentified factors. Therefore, better management of these funds is essential to enhance the welfare of the Papuan people and effectively address poverty.