Analysis of Factors in Forming Fiscal Stress Index Case study: The Indonesian Government Budget

Abstract

This study aims to choose a fiscal stress index that is most suitable to assess state budget condition in Indonesia. The analysis
factor is used to assess several factors that can cause stress on the state budget. SPSS is used for the purposes of the analysis.
There are eleven indicators of two factors that lead to fiscal stress. The assessment revealed that there is only one fiscal stress
index which is suitable to assess state budget condition in Indonesia. Factors can lead to fiscal stress in Indonesia are state
expenditure, debt factors, education spending, general allocation funds, profit sharing funds, special autonomy funds, health
spending, debt interest payments, state obligation, and the number of population.