Asian Journal of Economics, Business and Accounting

Local governments worldwide face the persistent challenge of providing essential services amidst tightening budgets, necessitating effective strategies for cost reduction and revenue enhancement without overburdening residents. ​This study investigates the efficacy and responsiveness of revenue generation strategies in Bayugan City, Agusan del Sur, and their impact on sustainable development.​ Framed by the Local Government Code (LGC) of 1991, which promotes local government unit (LGU) self-reliance, the research explores the LGU’s efforts to bolster its fiscal capacity despite escalating population and expenditure demands. Employing a cross-sectional design, the study assesses the implementation of local revenue generation and taxation. Data were collected through questionnaires and interviews to address the research premises. Bayugan City, recognized for its advancements in peace and economic development, confronts the dual challenge of sustaining growth while navigating financial limitations. The research critically analyzes initiatives undertaken by the city's LGU, particularly at the barangay level, to heighten tax awareness, enforce compliance, and optimize revenue collection. Strategies adopted by the local treasury to encourage taxpayers and fortify the city’s revenue base are also examined. This research highlights how these fiscal policies and practices contribute to the city’s infrastructure development and overall economic growth, fostering a balanced and sustainable development trajectory. By evaluating the alignment of Bayugan City’s revenue generation strategies with decentralization principles and sustainable development goals, this study offers valuable insights into the complexities of local governance in resource mobilization. It emphasizes the significance of responsive fiscal policies in bridging development disparities, promoting equitable progress, and ensuring that local communities can flourish economically and socially. The findings are intended to serve as a practical model for other LGUs striving to enhance their fiscal resilience and long-term sustainability.