Budgetary policy interaction model in supporting sustainable village development in the upper Citarum watershed

In Indonesia, where degradation of the environment and agricultural expansion threaten long-term ecological resilience, sustainable village development has emerged as a top policy goal. This study investigates how stakeholders in Bandung Regency, Indonesia—an agricultural area vital to the ecological well-being of the Citarum Watershed—support green budgeting techniques for sustainable village development. In order to investigate interactions among important actors, the research combines empirical data, stakeholder views, and structural modelling in a mixed-method approach that primarily uses quantitative analysis and supplementary Focus Group Discussions (FGDs). Cluster random sampling and purposive informant selection were used to gather data from surveys, observations, and interviews with farmers and authorities in six villages in Kertasari District. Using the Penta-Helix framework, the study evaluates the contributions of stakeholders—academics, corporations, communities, governments, and the media—across factors like volunteerism, regulation, and stakeholder interaction. Responses were interpreted using statistical methods such as medians, standard deviation, ordinal and interval analysis, and validity testing. The findings highlight the importance of locally driven fiscal systems, technology regulation, and community empowerment in promoting ecologically sustainable governance. Multi-stakeholder coordination and legal frameworks are key components of a successful intervention, as demonstrated by implementing policies in programs such as the Citarum Harum Program. In order to support inclusive growth and long-term ecological resilience in rural areas, the findings support flexible, community-centred governance.