The Impact of Financial Report Quality on Local Government Performance the Mediating Role of Accountability and The Effect of local government characteristics

Abstract

This study investigates the relationship between financial report quality and local government financial performance, with accountability mediating this relationship. The findings indicate that high-quality financial reports improve financial performance both directly and indirectly through accountability. Accountability transmits the impact of financial report quality on financial performance. Governance characteristics, such as government size and legislative size, also influence financial performance. These results underscore the importance of transparency, accountability, and effective governance in local government financial management.