Financial Feasibility as a Decision-Making Tool for Regional Infrastructure Projects: A Regional Development Perspective

Effective regional infrastructure planning requires not only technical soundness but also financial accountability to ensure long-term sustainability and equitable resource allocation. This article refines the application of financial feasibility analysis as a decision-making tool, focusing on four key indicators NPV, BCR, IRR, and PP—and situates them within a regional development framework. The Bango Water Supply System Development Project (2023–2047) in Malang City is employed as a study case to illustrate how financial feasibility outcomes can inform policy choices. Results indicate that the project demonstrates positive financial performance across all indicators, confirming its viability under baseline assumptions. Beyond numerical validation, the study emphasizes the strategic role of financial feasibility analysis in prioritizing projects, attracting public private investment, and aligning infrastructure initiatives with SDG targets for water access and sustainable cities. This contribution provides actionable insights for policymakers seeking to balance fiscal discipline with inclusive growth objectives.