Regional economic growth is an integral part from national economic development based on the principles of regional autonomy and national resource regulation which provide opportunity to the improvement of democracy and regional performance for improving the public welfare towards civil society that is free of collusion, corruption, and nepotism. One of the indicators in success of the development implementation that can be used as a benchmark is investment, domestic investment in particular. Type of this research is associative quantitative in which this research aims to investigate the effect of regional expenditure, inflation, and interest rate to the domestic investment in ten provinces in Sumatera for eleven years from 2010 to 2020. Result of this research shows that regional expenditure, inflation, and interest rate simultaneously affect the domestic investment. Regional expenditure partially has positive and insignificant effects to the domestic investment. Inflation partially has negative and insignificant effects to the domestic investment, while interest rate partially has negative and significant effects to the domestic investment.
Keywords : Regional Expenditure, Inflation, Credit Interest Rate, and Domestic Investment