REKONSTRUKSI HUKUM PENGEMBANGAN EKONOMI LOKAL BERBASIS POTENSI DAERAH DI PAPUA BARAT DAYA

Abstract

The establishment of the Province of Southwest Papua as a new autonomous region presents an urgent need for legal reconstruction that can support economic development based on local potential and traditional wisdom. Previous studies have emphasised the role of law in regional economic development, but these have been limited to normative-administrative approaches and have not examined the integration of legal pluralism in the context of customary territories. This study aims to analyse the form of legal reconstruction carried out by the local government, the structural and substantial obstacles that affect its effectiveness, and strategies for integrating state law with local wisdom in empowering MSMEs in West Papua. This study uses empirical legal methods with a legislative and sociological approach through interviews, field observations, and document studies. The results show that legal reconstruction is carried out through regulatory substance renewal, strengthening the institutional structure of the Trade, Industry and Cooperatives Agency, and developing a legal culture based on local wisdom. However, its effectiveness is still hampered by institutional capacity limitations, weak cross-sector coordination, and regulations that are not yet fully contextual. The integration of legal pluralism has been proven to increase the acceptance of economic policies, but it has not yet been institutionalised normatively. This study contributes to the development of development law by emphasising the importance of holistic and contextual legal system reconstruction in promoting sustainable regional economies.