Analysis of Interregional Development Disparities in Banten Province
Keywords:
Regional Development Disparities, Williamson Index, GRDP per Capita, Regional Inequality, Banten Province, Economic Growth, Interregional Analysis
Abstract
Background: Regional development disparities remain a persistent challenge in Indonesia's decentralization era. Banten Province, as one of the country's most industrialized regions, exhibits a dual economic structure where advanced industrial zones coexist with agrarian lagging areas. This study analyzes the level of economic development disparity among districts and cities in Banten Province during the 2015–2024 period.
Method: This study employs a descriptive quantitative approach using secondary data from the Central Statistics Agency (BPS) of Banten Province. The data consist of Gross Regional Domestic Product (GRDP) per capita at constant prices and population figures for each of the eight regencies/cities in Banten Province from 2015 to 2024. The Williamson Index was calculated to measure the level of interregional development disparity.
Results: The findings reveal that the level of development disparity in Banten Province is relatively high and stable throughout the observation period, with the Williamson Index ranging from 0.627 in 2017 and 2019 to 0.636 in 2024. Cilegon City is the largest contributor to regional disparities (Williamson Index 0.47–0.48), supported by its high GRDP per capita which increased from Rp145,551,706.92 in 2015 to Rp194,522,001.91 in 2024. Pandeglang and Lebak Regencies consistently exhibit the lowest per capita GRDP, indicating persistent economic lag. Tangerang City and South Tangerang City recorded the lowest index values (0.02–0.10).
Conclusion: The persistent high disparity reflects a structural concentration of economic activity in northern Banten. From an Islamic economic perspective, this condition contradicts the principles of al-'adalah (distributive justice) and falah (holistic well-being). Policy recommendations include fiscal redistribution, infrastructure investment in lagging regions, and optimization of Islamic social finance instruments (zakat, waqf) to promote inclusive growth.
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rate on income disparity among provinces on Java Island. Jurnal Kebijakan Ekonomi dan
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systems. International Journal of Professional Business Review, 25(3).
https://doi.org/10.21070/ijppr.v25i3.1426
Agrawal, D. R., Hoyt, W. H., & Wilson, J. D. (2021). Tax decentralization, fiscal competition, and
regional disparities. Journal of Urban Economics, 125, 103346.
https://doi.org/10.1016/j.jue.2021.103346
BPS-Statistics Indonesia. (2021). The impact of the COVID-19 pandemic on Indonesia’s population
dynamics. BPS.
BPS-Statistics of Banten Province. (2022). Gross regional domestic product of Banten Province by
economic sector, 2017–2021. BPS Banten.
Barika, B., Sari, M., & Putri, D. (2024). Determinants of regional inequality: A literature review
perspective. International Journal of Economics, Business and Management Research, 8(8).
https://doi.org/10.51505/IJEBMR.2024.8801
Febyanti, F. P. Y. L. (2020). Interregional economic disparities on the island of Kalimantan and the
factors influencing them [Undergraduate thesis, IPB University]. IPB Repository.
Halima, P. R., Siregar, H., & Wahyudi, S. T. (2025). Structural transformation and regional inequality
differential in Indonesia. Regional Studies, Regional Science, 12(1).
https://doi.org/10.1080/21681376.2025.2565318
Hirschman, A. O. (1958). The strategy of economic development. Yale University Press.
Irawan, H., Prasetyo, A., & Nugroho, Y. (2024). Regional disparities in fiscal decentralization
outcomes in Indonesia. SSRN Electronic Journal. https://doi.org/10.2139/ssrn.4991559
Kuznets, S. (1955). Economic growth and income inequality. The American Economic Review, 45(1),
1–28.
Lasuen, J. R. (1973). Urbanisation and development: The temporal interaction between geographical
and sectoral clusters. Urban Studies, 10(2), 163–188.
https://doi.org/10.1080/00420987320080311
Mankiw, N. G. (2006). Principles of macroeconomics (3rd ed.). Cengage Learning (Original work
published in Indonesian as Pengantar Teori Ekonomi Makro, Salemba Empat).
Mansyur, K., Nursini, & Hamrullah. (2021). Analysis of the impact of economic growth, investment,
and government expenditures on regional development disparities in South Sulawesi Province.
Development Policy and Management Review (DPMR), 1(2), 79–107.
Mopangga, H. (2011). Analysis of development disparities and economic growth in Gorontalo
Province [Master's thesis, IPB University]. IPB Repository.
Muryanto, T. D., et al. (2022). Analysis of the impact of investment on economic growth in East Java.
Economics and Business Journal, 18(2), 157–166.
Musyrifah, et al. (2024). The effects of GRDP, investment, and agglomeration on inter-regional
development disparities in East Kalimantan Province. Journal of Regional Planning and
Development, 2(1).
Myrdal, G. (1957). Economic theory and underdeveloped regions. Gerald Duckworth.
Nicholson, I. A. M. (1998). Ethics, objectivity and professional authority. American Psychologist,
53(3), 321–322.
North, D. C. (1955). Location theory and regional economic growth. Journal of Political Economy,
63(3), 243–258.
North, D. C. (1990). Institutions, institutional change and economic performance. Cambridge
University Press.
Nurfifa, R., Walewangko, E. N., & Masloman, I. (2022). Analysis of the effect of economic growth
and investment on disparities among cities in North Sulawesi Province. Jurnal Berkala Ilmiah Efisiensi, 22(5), 25–36.
Patricia, Y. D., Azizah, S. N., & Khairat, A. N. (2025). The influence of human development index,
regional minimum wage, foreign direct investment, and population growth on economic
growth in West Nusa Tenggara Province. Jurnal Ekonomi Bisnis, Manajemen dan Akuntansi
(Jebma), 5(2).
Perroux, F. (1950). Economic space: Theory and applications. The Quarterly Journal of Economics,
64(1), 89–104. https://doi.org/10.2307/1881960
Porter, M. E. (1990). The competitive advantage of nations. Free Press.
Pramesti, D. A. D. G., & Yasa, I. N. M. (2019). The effect of investment and inflation on economic
growth and income distribution disparity in Klungkung Regency. E-Jurnal Ekonomi
Pembangunan Universitas Udayana, 8(11), 2562–2590.
Rahman, S., Fadhli, M., & Kurniawan, R. (2024). Regional disparities and development challenges in
North Kalimantan. Jurnal Perencanaan Pembangunan, 8(3).
https://doi.org/10.36574/jpp.v8i3.607
Ramadhani, S., Sitorus, S. R. P., & Pribadi, D. O. (2022). Regional development plan based on leading
agricultural commodities in Pasaman Regency, West Sumatra Province [Master's thesis, IPB
University]. IPB Repository.
Republic of Indonesia. (2014). Law of the Republic of Indonesia Number 23 of 2014 concerning
Regional Government.
Restiasanti, I. (2022). The effect of economic growth and unemployment on income disparity with
the Human Development Index (HDI) as a moderating variable on Madura Island 2012-2021
[Undergraduate thesis, Maulana Malik Ibrahim State Islamic University Malang]. ETheses UIN
Malang.
Richardson, A. (1977). Verbalizer-visualizer: A cognitive style dimension. Journal of Mental Imagery,
1(1), 109–125.
Romer, D. (2012). Advanced macroeconomics (4th ed.). McGraw-Hill Irwin.
Rostow, W. W. (1960). The stages of economic growth: A non-communist manifesto. Cambridge
University Press.
Rustiadi, E., Saefulhakim, S., & Panuju, D. R. (2018). Regional planning and development. Crestpent
Press.
Saaty, T. L. (1994). How to make a decision: The analytic hierarchy process. Interfaces, 24(6), 19–43.
Sari, D., Taher, A. R. Y., Ananta, P., & Suparta, I. W. (2025). Regional economic disparity in Indonesia:
An analytical perspective on the influence of economy, infrastructure, and democracy. E-
Journal Field of Economics, Business and Entrepreneurship (EFEBE), 3(2).
Sari, M., & Nugroho, A. (2020). Analysis of factors affecting population growth in rural areas. Jurnal
Kependudukan Indonesia, 15(2), 123–135.
Schultz, T. W. (1971). Investment in human capital: The role of education and of research. Free Press.
Sen, A. (1999). Development as freedom. Oxford University Press.
Sitepu, R. K. K., Sinaga, B. M., & Siregar, H. (2025). Spatial agglomeration and regional disparities:
Evidence from developing regions. International Journal of Sustainable Development and
Planning, 20(11). https://doi.org/10.18280/ijsdp.201110
Sjafrizal. (2008). Regional economics: Theory and applications. Baduose Media.
Sjafrizal. (2012). Regional and urban economics. PT. Raja Grafindo Persada.
Solow, R. M. (1956). A contribution to the theory of economic growth. The Quarterly Journal of
Economics, 70(1), 65–94. https://doi.org/10.2307/1884513
Stohr, W. B., & Taylor, D. R. F. (1981). Development from above or below? The dialectics of regional
planning in developing countries. Wiley.
Suryahadi, A., et al. (2018). The impact of industrialization on regional economic growth. Bulletin of
Indonesian Economic Studies, 54(1), 1–23.
Tambunan, T. (2004). Globalization and international trade. Ghalia Indonesia.
Tarigan, R. (2007). Regional economics: Theory and applications. Bumi Aksara.
Tiebout, C. M. (1956). A pure theory of local expenditures. Journal of Political Economy, 64(5), 416–
424.
Todaro, M. P., & Smith, S. C. (2015). Economic development (12th ed.). Pearson.
Weber, A. (1909). The theory of the location of industries. University of Chicago Press.
Wei, J., Liu, Y., & Fan, Y. (2024). Regional disparities and spatial spillover effects: Evidence from
developing countries. Frontiers in Ecology and Evolution, 12, 1309500.
https://doi.org/10.3389/fevo.2024.1309500
Winarso, H., & Firman, T. (2019). Residential land development in Jakarta Metropolitan Region: A
spatial analysis. Cities, 91, 287–295.
Yoertiara, R. F., & Feriyanto, N. (2022). The effect of economic growth, HDI, and open unemployment
rate on income disparity among provinces on Java Island. Jurnal Kebijakan Ekonomi dan
Keuangan, 1(1), 92–100.
Yuldashev, M., et al. (2023). Impact of foreign direct investment on income inequality: Evidence
from selected Asian economies. Journal of Asian Economics, 86, 1–14.
Published
2026-06-20
How to Cite
Aqidatul Fadhilah, P., Budiman Hakim, D., & Budiharsono, S. (2026). Analysis of Interregional Development Disparities in Banten Province. Sharia Economic and Management Business Journal (SEMBJ), 7(2), 440-453. https://doi.org/10.62159/sembj.v7i2.1958
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Copyright (c) 2026 Putri Aqidatul Fadhilah, Dedi Budiman Hakim, Sugeng Budiharsono
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