Factors Affecting Budget Absorption in North Tapanuli Agency

Abstract

This research examines budget planning, budget implementation, and goods/services procurement process influences on budget absorption at North Tapanuli Regional Finance and Assets Agency. Employing quantitative descriptive methodology, the study utilizes purposive sampling among agency employees. Data collection involves questionnaire distribution and literature review, analyzed through multiple linear regression using SPSS version 26. Results demonstrate that all three independent variables exert positive and significant effects on budget absorption, both simultaneously and partially. The determination coefficient indicates 41.2% variance explanation by these variables, with remaining 58.8% influenced by unexamined factors.