Village Institutional Capacity in Realising Economic Development towards a Superior and Self-Reliant Village

This article traces the source of that anomaly by positioning village institutional capacity as an explanatory variable that has remained under-theorised. The study is conceptual-analytical: the author synthesises reputable international literature, national scholarship, and positive legal materials on village governance, then tests the synthesis against the agrarian highland rural context of Garut Regency, West Java, treated as an illustrative locus. The analysis yields a five-dimensional framework of village institutional capacity whose elements interlock: regulatory-planning capacity, human resource and leadership capacity, fiscal and accountability capacity, economic organisation capacity, and relational capacity grounded in social capital. Digitalisation is positioned not as a sixth dimension but as a lever operating across all five. The article's central conceptual finding is a weakest-link thesis: village resources convert into welfare only when the five dimensions are satisfied simultaneously, so that weakness in any single dimension severs the entire conversion chain and explains why budget increases do not reliably translate into improved village status. The framework is formalised into ten empirically testable propositions. Its policy implication is direct: an agenda towards superior and self-reliant villages requires a shift from a budget-disbursement logic towards a sustained and measurable institutional capacity-building logic.

institutional capacity; village economic development; self-reliant village; village governance; Garut Regency

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