Abstract
Digital transformation in village governance has become a strategic priority in Indonesia, particularly through the Village Financial System (SISKEUDES), aimed at strengthening accountability and transparency in village financial management. Prior studies have predominantly examined SISKEUDES from a technical-administrative perspective, while its relational dimension within village governance remains underexplored. This study aims to analyze the process of financial governance digitalization and the transformation of social relations in Desa Kleseleon, Weliman District, Malaka Regency, and to identify the technical constraints accompanying its implementation. Employing a qualitative case study approach, data were collected through observation, interviews, and documentation involving village officials, the Village Consultative Body (BPD), and the community, analyzed through data reduction, display, and conclusion drawing, and validated through methodological triangulation. The findings indicate that SISKEUDES implementation transformed village financial management from a manual to an integrated digital mechanism, fostering cross-functional coordination, data-based oversight, and increased public trust, while still facing constraints in human resource capacity, regulatory and application changes, and unstable network infrastructure. Theoretically, these findings extend Giddens's Structuration Theory and Simmel's Social Interaction Theory to the context of digital village governance, complemented by Orlikowski's duality of technology and Ogburn's cultural lag, with practical implications for strengthening village-level capacity and infrastructure.