Community Welfare Perspectives In Border Villages Between The Republic Of Indonesia And The Democratic Republic Of Timor Leste

Abstract

The success of village fund management in achieving community welfare requires various serious efforts, one of which is finding the appropriate paradigm for development. Village funds as a resource are expected to create empowered and independent villages. Village funds are a government effort to achieve equal development and poverty alleviation in border villages in Belu District, East Nusa Tenggara Province. The study population consisted of 26,475 households distributed across 28 villages in 7 sub-districts. The sample size of 155 households was obtained using the Slovin method with an 8% margin of error. Data was collected through a questionnaire, and data analysis was performed using SEM-PLS. The results and data analysis concluded that (1) Government role, good governance, and social capital have a positive and significant effect on village economic performance. (2) Similarly, village government role, good governance, social capital, and village economic performance have a positive and significant effect on village community welfare. (3) Village economic performance does not mediate the relationship between government role and community welfare, while village economic performance mediates the relationship between good governance and social capital on village community welfare.