EFFECTIVENESS OF PUBLIC SPENDING IN BORDER REGION DEVELOPMENT: A SYSTEMATIC LITERATURE REVIEW ON BUDGET ALLOCATION AND DEVELOPMENT OUTCOMES

Authors

  • Marsela Diaz Universitas Tanjungpura
  • Maria Christina Iman Kalis Universitas Tanjungpura
  • M. Irfani Hendri Universitas Tanjungpura

DOI:

https://doi.org/10.36563/4grp2284

Keywords:

Budget Allocation, Border Regions, Public Expenditure, Regional Development, Systematic Literature Review

Abstract

This study analyzes the effectiveness of public expenditure in border region development, with particular emphasis on the relationship between budget allocation and development outcomes. Using a Systematic Literature Review (SLR) guided by PRISMA 2020, this article synthesizes 27 selected studies published between 2016 and April 2026 from Scopus, Web of Science, ScienceDirect, and Google Scholar. The review shows that public expenditure contributes to economic growth, social welfare, and regional connectivity, particularly when directed to agriculture, education, infrastructure, health, and local economic development. However, its effectiveness is strongly conditioned by governance quality, institutional capacity, coordination across levels of government, fiscal transparency, and the fit between central planning and local needs. The findings also reveal that agriculture and education spending tend to produce more consistent positive outcomes than other spending categories because they directly strengthen local production capacity, human capital, and long-term welfare indicators. The article contributes analytically by positioning border regions as complex fiscal-policy spaces and by developing a synthesis framework that links budget allocation, priority sectors, implementation quality, local context, inequality, spillover effects, and development outcomes. The practical implication is that border development policy should move beyond budget absorption toward outcome-based, locally grounded, and evidence-based public spending strategies.

Downloads

Download data is not yet available.

References

politics in the European Union. Economics and Politics, 33(2), 264–288. https://doi.org/10.1111/ecpo.12170

Bajrami, R., Bajraktari, K., & Gashi, A. (2025). The impact of economic freedom on economic growth in Western Balkan countries. Journal of Risk and Financial Management, 18(8), 461. https://doi.org/10.3390/jrfm18080461

Castro, V. (2018). Functional components of public expenditure, fiscal consolidations, and economic activity. Economics and Politics, 30(1), 124–150. https://doi.org/10.1111/ecpo.12104

Faure, A. (2019). Financing a non-standard project: The new Greater Paris metro network (2008–2018). BELGEO. https://doi.org/10.4000/belgeo.36271

Fay, M., & Straub, S. (2019). Rising incomes and inequality of access to infrastructure among Latin American households. Journal of Infrastructure, Policy and Development, 3(1), 76–99. https://doi.org/10.24294/jipd.v3i1.1086

Guariso, D., Castañeda, G., & Guerrero, O. A. (2023). Budgeting for SDGs: Quantitative methods to assess the potential impacts of public expenditure. Development Engineering, 8. https://doi.org/10.1016/j.deveng.2023.100113

Gurvich, E. T., & Krasnopeeva, N. A. (2024). Determinants of public spending composition in the Russian regions. Voprosy Ekonomiki, 1, 5–32. https://doi.org/10.32609/0042-8736-2024-1-5-32

Iyoha, F. O., & Oyerinde, D. (2010). Accounting infrastructure and accountability in the management of public expenditure in developing countries: A focus on Nigeria. Critical Perspectives on Accounting, 21(5), 361–373. https://doi.org/10.1016/j.cpa.2009.06.002

Junarsin, E., Pelawi, R. Y., Kristanto, J., Marcelin, I., & Pelawi, J. B. (2023). Does fintech lending expansion disturb financial system stability? Evidence from Indonesia. Heliyon, 9(9). https://doi.org/10.1016/j.heliyon.2023.e18384

Lashkhi, M. (2025). Shadow Banking and Economic Stability: Panel Analysis of Emerging Economies. Bulletin of the Georgian National Academy of Sciences, 19(3), 215–222. https://www.scopus.com/pages/publications/105022056789?origin=resultslist

Leppänen, S., Solanko, L., & Kosonen, R. (2017). The impact of climate change on regional government expenditures: Evidence from Russia. Environmental and Resource Economics, 67(1), 67–92. https://doi.org/10.1007/s10640-015-9977-y

Mathauer, I., Theisling, M., Mathivet, B., & Vilcu, I. (2016). State budget transfers to health insurance funds: Extending universal health coverage in low- and middle-income countries of the WHO European Region. International Journal for Equity in Health, 15(1), 57. https://doi.org/10.1186/s12939-016-0321-0

Nyasha, S., & Odhiambo, N. M. (2019). The Impact of Public Expenditure on Economic Growth: A Review of International Literature. Folia Oeconomica Stetinensia, 19(2), 81–101. https://doi.org/10.2478/foli-2019-0015

Rojas Rivera, P. C., Ciriaco Arroyo, J. M., Lozano-Godoy, K. M., & Manrique Nugent, M. A. L. (2025). Public policies and territorial equity in the distribution of social spending. Revista Venezolana de Gerencia, 30(112), 2080–2092. https://doi.org/10.52080/rvgluz.30.112.25

Rousek, P. (2016). Brief report on public spending on inland and maritime waterways in particular country in certain period of time. Nase More, 63(3), 177–181. https://doi.org/10.17818/NM/2016/SI18

Tang, Z., Zhang, Z., & Deng, W. (2024). Government environmental expenditure, budget management, and regional carbon emissions: Provincial panel data from China. Sustainability, 16(15), 6707. https://doi.org/10.3390/su16156707

Wichowska, A. (2021). Economic aspects of shrinking cities in Poland in the context of regional sustainable development. Sustainability, 13(6), 3104. https://doi.org/10.3390/su13063104

Yu, J., Xiao, Q., Zhang, X., & Lin, C.-T. (2025). Impact of fiscal regulation on regional carbon intensity: Assessing the carbon emission reduction effect of transparent government revenue and expenditure. Applied Economics, 57(48), 7855–7872. https://doi.org/10.1080/00036846.2024.2393899

Zams, B. M., Indrastuti, R., Pangersa, A. G., Hasniawati, N. A., Zahra, F. A., & Fauziah, I. A. (2020). Designing central bank digital currency for Indonesia: The delphi-analytic network process. Buletin Ekonomi Moneter Dan Perbankan/Monetary and Banking Economics Bulletin, 23(3), 411–438. https://doi.org/10.21098/BEMP.V23I3.1351

Downloads

Published

2026-08-10

Deprecated: json_decode(): Passing null to parameter #1 ($json) of type string is deprecated in /var/www/html/plugins/generic/citations/CitationsPlugin.php on line 68

How to Cite

EFFECTIVENESS OF PUBLIC SPENDING IN BORDER REGION DEVELOPMENT: A SYSTEMATIC LITERATURE REVIEW ON BUDGET ALLOCATION AND DEVELOPMENT OUTCOMES. (2026). JAT : Journal Of Accounting and Tax , 5(2), 270-292. https://doi.org/10.36563/4grp2284