Regional Analysis for Sustainable Economic Development: A Case Study of Sukamara Regency, Kalimantan Tengah, Indonesia

Abstract

Economic growth remains the sole determining factor that shapes regional development in Sukamara Regency, Kalimantan Tengah, Indonesia. Therefore, in designing and formulating its regional planning, it is imperative that the leading economic sector(s) be specifically studied and prioritized. Using quantitative data and regional analysis, this research aimed to identify the leading sector(s) to formulate recommendations for the regency’s development planning using geographic information systems and three economic growth indicators: location quotient (LQ), multiplier effect (ME), and shift-share (SS). Results indicate that Forestry, Agriculture, and Fisheries is the primary leading sector, followed by Manufacturing, which are both fuelled by the palm oil industry. The prevailing industrial sector causes economic disparities between northern and southern Sukamara. For further regional development, disparities between regions and sustainability issues must be addressed using a nature-based approach and socially inclusive measures by promoting and fostering small and medium enterprises, especially in southern Sukamara. Shifting the economy from extractive sectors (primary) to trade and tourism (secondary and tertiary) is also recommended to ensure the sustainabality of the development.