Limited Public Role and Challenges to Transparency in the Implementation of the State Finance Law

Abstract

This study analyzes the effectiveness of the implementation of Law Number 17 of 2003 on State Finance in the context of public participation and transparency. The findings indicate that although this law normatively provides a transparent and accountable financial management framework, its implementation still faces two major challenges: the limited role of society in financial oversight and restricted public access to financial information. These issues have implications for weak accountability and delayed detection of budget irregularities. Therefore, strategic measures are needed to strengthen transparency and public participation to ensure that the state financial system becomes more responsive, efficient, and integrity-based. Improving interactive transparency mechanisms, enhancing fiscal literacy, and encouraging inclusive social oversight are essential to realize better public trust and accountability in public financial governance. This study emphasizes that effective financial management requires not only a strong legal framework but also active citizen engagement as a foundation for sustainable good governance.