I.

II.

MACRO ECONOMIC CONDITION

The composition of the economy is basically share (share) or the value of a sector that
contributed to the total GDP, which is the value of a sector (a sector GDP) compared
to the total value of the sector (total GDP). The composition of the sector is beginning
to understand overview of the sectors contributing Which large, medium or small to
total GDP. Dominant economic sectors contributed into the share of GDP of Batam
are manufacturing, trade and financial services sector. The manufacturing sector in
2005 decreased contribution becomes 63.13% when compared to the previous year
63.30%. While the trade sector decreased to 22.80% from 23.10% in the year 2003,
the financial services sector has increased to 5.58% from 5.52% in 2003, as well as
the transport and communications sector which increased the share of total GDP
amounted to 0.38% from 2.68% in 2003 to 3.06% in the year 2005 the electricity, gas
and water composition stagnated in 2003 and 2004 was 0.26% and in 2005 rose to 0 ,
27%. The building sector over the last three years from 2003 until 2005 stagnated at
only provide a contribution of 2.09%. Other sectors that were classified as primary
and secondary agriculture such as mining and quarrying decreased, although
relatively not so big. Judging from the average contribution of the development
sectors contributor GDP three major periods of 2000 - 2005 showed a tendency
processing industry is not very developed in the range of 63%. while the sector trade
contribution decreased, although not significantly, from around 23% to 22%. While
the financial sector showed a tendency to increase, but still not very significant. The
development of economic growth from 2001-2005 Batam and predictions 2006 2011 can be seen in the picture below.

Investment
The development of investment in Batam up to 2005 according to the origin of the
investment totaled $ 11,890 million, comprising from government investments totaled
$ 2,340 million, Private Domestic totaled $ 5,470 million and Foreign Private totaled
$ 4,080 million. The role of the private sector in investing activities in Batam has a
positive impact not only to the area of Batam but also provide a significant
contribution to the Central Government in terms of donations tax. To connect between
the investments made by ICOR growth method is usually used. ICOR is the ratio of
the change in the output of capital changes, in other words the ratio indicates how
much capital changes that occur, which is usually called the investment to changes in
output. Investment needs to be achieved in the period 2006 - 2011 is expected from
the private sector both in the public and private sector foreign. For the safety factor,
the rule of law and service improvement Batam is an investment in the initial
conditions required to achieve the predicted value of the investment in question. Other
than that, to improve the investment is also needed sharpening strategies and policies
in the preparation of the priorities in the economic field. Priorities meant that the
government must commit in determining the territorial status of Batam, improve labor
conditions and other matters related to the improvement of the competitiveness and
attractiveness of investment in Batam.
III.

SUMMARY
Some of the barriers and obstacles encountered associated with failure to achieve
physical and financial targets, are as follows:
a. Less than optimal performance of the functions of planning, especially in the
preparation revenue predictions in the preparation of the current year budget
changes. Thus, the real revenue is still very low.
b. The increase in personnel expenditure on indirect spending categories the
expenditures that can not be avoided as a result of the policy Central
Government.

JOB DESRIPTIONS

Mayor

: Drs. H Ahmad Dahlan

Vice mayor

: Rudi, SE, MM.

Agencies
Assistant
Assistant I Bid. Government
Assistant II Bid. Economics and Development
Assistant III General Bid.Administrasi

: Drs. H. King Supri, M.Si

: M. Syuazairi, M.Si
: Drs M. Sahir

Section
Program Development
Legal
Finance
Equipment and Assets
Public Relations
Governance
Economy
General Section Regional Secretariat Batam
Organizatian and Management

: Drs.Ismet Djohar, M.Si

: Drs.Ismet Djohar, M.Si
: Abdul Malik, SE
: Helwani, SE
: Drs. Ardiwinata
: Mardanis, AMP, SE
: Drs. Nurminsyah
: Asril, S.Sos
: Herman Rozie, SSTP,

M.Si
Public Welfare
Protocol

: Samudin
: Drs. Taufik, AP

Department
Marine, Fisheries, Agriculture and Forestry
Population and Civil Registration

: drh. Suhartini, MM
: Drs.Sadri Khairudin,
MM
Public Works
: Ir. Yumasnur, MT
Education
: Drs. Muslim Bidin, MM
City Planning
: Gintoyono, BE, SE, MM
Tourism and Culture
: Yusfa Hendri, M.Si
Local Revenue
: Drs.Jefridin
Transportation
: Drs.Zulhendri, M.Si
Health
: Drg. Chandra Rizal,
M.Si
Hygiene
: Drs. Sulaiman Nababan
Social and Funeral
: R. Kamarulzaman, SE
Labor
: Drs. Zarefriadi, M.Pd
Empowering Communities for, Markets, Cooperatives
: Pebrialin, SE,
M.Si
Industry, Trade, Energy and Resources
: Amsakar Ahmad

Agency
Women's Empowerment and Family Planning
Envionmental Impact Management

: Dra. Nurmadiah, M.Pd

: Ir. A. Dendi Purnomo
Noviardi

Regional Development Planning

Regional Land
Personnel Training and Education
Communcation and Information
National Unity, Politics and Society Protection
Investment

: Ir. Wan Darussalam,

M.Sc, PhD
: Aspawi Nangali, S. Sos
: Firman, S. Sos, M.Si
: Salim, S. Sos, M.Si
: Drs. Heriman HK
: Gustian Riau, SE, M.Si

Office
Fire
Public Library and Archieves
Unit of the Civil Service
Youth and Sports

: Drs. Azman, MP
: Drs. Aunar Karimsu
: Hendri, S.Sos
: King Azmansyah

Inspectorate
Regional Inspectorate City

: Drs. Hartayo Sirkoen, M.Si

References:
http://batamkota.go.id/pemerintahan_baru.php?sub_module=46&klp_jenis=89
http://www.polmankab.go.id/wp-content/uploads/2013/09/Catatan-ataslaporan-keuangan-TA.-2012.pdf
http://regional.coremap.or.id/downloads/SOSEK_KOTA_BATAM.pdf

2. Desentrlization Degrees Analysis

Local revenue
x 100%
Total local revenue
Tahun 2009 = 154,375,851,953.81 / 911,118,285,383.31 x 100%
= 16.9%
Tahun 2010 = 159,012,958,078.27 / 1,061,784,303,579.12 x 100%
= 14.9%
The degree of decentralization in Batam Island in fiscal year 2009 amounted to
16.9%, while in fiscal year 2010 amounted to 14.9%. From these calculations we can
know that the degree of decentralization of the district has decreased, then

progressively decreasing also the ability of the government in the implementation of

decentralization.

3. Regional Financial Dependency Ratio

Transfer revenue
X 100%
Total local revenue
Tahun 2009 = 748,124,997,010.00 / 911,118,285,383.31 x 100%
= 82.11%
Tahun 2010 = 844,975,731,929.85/ 1,061,784,303,579.12 x 100%
= 79.58%
Regional financial dependency ratio in 2009 was 82.11% and in 2010 for 79.58%.
From these calculations it can be seen that in 2009 the government in carry out its
activities are still very dependent on the central government / province. yet in 2010
the ratio of financial dependence starting area decreased to 79.58% due to increasing
their revenues into 1,061,784,303,579.12.
4. Efectiveness Ratio of Local Revenue
Realization of revenue receipts
X 100%
Revenue receipts target
Tahun 2009 = 114,716,025,778.79 / 116,094,268,500.00 x 100%
= 98.8%
Tahun 2010 = 127,487,430,587.83 / 128,219,929,638.00 x 100%
= 99.4%

PAD effectiveness ratio in fiscal year 2009 amounted to 98.8% can be quite effective
because it is in the 90% - 99% predicate. When compared to the year 2010 in the
region's ability to operate in the year 2010 experienced a slight increase to 99.4%. In
the year 2010 occurred despite an increase of 99.4% remains the ability of local
governments to mobilize revenues PAD still be quite effective for PAD effectiveness
ratio of fiscal year 2010 was 90% - 99% predicate. The positive impact of this PAD
effectiveness ratio calculation for the calculation of financial ratio analysis can be
determined by how closely the comparison between the target and actual revenue in
each year that can be assessed by the Government of Batam when the target and its
realization is in the most effective position for regional financial. The negative impact
of this PAD effectiveness ratios calculated for the financial ratios, although its
effectiveness has been very good but if it turns out the cost of revenue collection is
very large, then the government dianggapa inefficient in carrying out its activities.

Expenditure Variance Analysis

6. Efficiency Ratio of Expenditure
Expenciture realization
X 100%
Expenditure budget
Year 2009 = 1,005,647,756,790.67 / 1,134,727,716,250.22 x 100%
= 88.6%
Year 2010 = 1,204,940,824,077.04 / 1,284,136,946,161.55 x 100%
= 93.8%
The ratio of the efficiency of spending in 2009 to 88.6% this indicates that this year
the government has made efficiency budgets in 2010, while the government has
decreased in efficiency budget this can be seen with the increasing percentage of the
calculation of the ratio analysis budget by 93.8% . This is because as the difference
between the budget and actual expenditure is not much different. Local government
performance is considered good if a local government is able to do shopping
efficiency. Conversely, if actual expenditures greater than the amount budgeted then it
indicates a poor budget performance.