Green Budgeting Strategies to Support Sustainable Development of Local Government Organizations

Abstract

          Climate change, pollution, and the degradation of natural resources have inevitably affected local development. Therefore, Local Government Organizations (LGOs) need to adapt their budget management approaches to align with sustainable development goals by adopting the concept of Green Budgeting as a policy instrument for the efficient allocation of public resources.

          Green Budgeting is a process integrating environmental objectives into budget planning and fiscal decision-making. It aimed to support projects reducing the environmental impacts and enhancing community sustainability. Key approaches for Local Government Organizations included: (1) establishing policies and local development plans aligned with the Sustainable Development Goals (SDGs); (2) allocating budgets to projects related to waste management, natural resource conservation, the expansion of green spaces, and the promotion of clean energy; (3) developing performance indicators assessing environmental outcomes alongside fiscal performance; and (4) encouraging public participation and collaboration among stakeholders in determining budget expenditure priorities.

           This article aimed to examine the approaches to Green Budgeting assisting Local Government Organizations in managing resources efficiently, transparently, and responsively to the long-term needs of citizens. Such an approach contributed to balanced local development across economic, social, and environmental dimensions while enhancing the capacity of local communities to address climate change challenges and achieve sustainable development in the future.