Modal, Tingkat Likuiditas Bank, NPL Dan Pertumbuhan Kredit Perbankan Indonesia

Setiawan, Rahmat; Pratama, Ahmad Aziz Putra

doi:10.24843/matrik:jmbk.2019.v13.i01.p10

Cited by 10 publications

(21 citation statements)

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“…Moreover, capital has become the centerpiece of supervision and regulation (Rose & Hudgins, 2013). Capital adequacy is needed if, in the future, there is bad credit that will reduce the value of assets, then what is reduced on the liability side is bank capital itself (Setiawan & Pratama, 2019). Bank capital will be eroded because it is not possible the bank will reduce third party funds (deposits).…”

Section: Effect Of Bank Capital On Lending Growth In All Bank Samplesmentioning

confidence: 99%

“…Most sectors that are related to financial activities will require bank services (Rose & Hudgins, 2013). Globalization and the era of information and technology advancement are inseparable from banking because various business and social activities require organs that provide services in facilitating financial traffic (Setiawan & Pratama, 2019). Almost every daily financial transaction carried out by the public will involve the role of banks (Setiawan & Pratama, 2019).…”

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confidence: 99%

“…Globalization and the era of information and technology advancement are inseparable from banking because various business and social activities require organs that provide services in facilitating financial traffic (Setiawan & Pratama, 2019). Almost every daily financial transaction carried out by the public will involve the role of banks (Setiawan & Pratama, 2019). Banks, as financial institutions with dominant public funding sources, make banks as a highly regulated industry (Thalib, 2016).…”

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confidence: 99%

“…The most significant source of income for a bank business comes from the contribution of a large number of loans extended (Berger & Bouwman, 2013;Moussa & Chedia, 2016). Banks in Indonesia still use the credit business sector as their primary source of income (Subandi & Ghozali, 2013;Raharjo, 2014;Thalib, 2016;Junaidi et al, 2019;Setiawan & Pratama, 2019). As an intermediary institution, banks must be able to manage the availability of owned capital so that there is no shortage of funds in carrying out their business activities (Kim & Sohn, 2017;Atahau & Cronje, 2019).…”

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confidence: 99%

“…Many studies proved that bank capital and lending have positive linear relationship (Gambacorta & Mistrulli, 2004;Berrospide & Edge, 2010;Satria & Subegti, 2010;Francis & Osborne, 2012;Rabab'ah, 2015;Moussa & Chedia, 2016;Kim & Sohn, 2017;Setiawan & Pratama, 2019). Bank capital improves banking performance to generate more profit from lending policy (Kolari, Berney, & Ou, 1996;Subandi & Ghozali, 2013;Raharjo, 2014;Ekpu & Paloni, 2016;Thalib, 2016) and increase their ability to absorb risk (Kamaludin, Darmansyah, & Usman, 2015).…”

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confidence: 99%

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Capital and lending growth of banking sector in Indonesia: Study on the BUKU category

Pratama

2019

Jurnal Keuangan Dan Perbankan

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Mostly, loans are an essential source of income for banks, and capital is used to absorb shocks during default risk. This study examines the effect of bank capital on lending growth in each Commercial Bank based on Business Activities (BUKU) category listed on the Indonesia Stock Exchange (IDX). This research used the fixed effect model. Data obtained from the company's financial report published in the 2010-2016 period. There is an inconsistency effect of bank capital on lending growth in each category. The results showed that bank capital has a significant positive effect on lending growth at all bank samples, BUKU 1, and BUKU 2. Furthermore, bank capital has a significant negative effect on lending growth at BUKU 3 and BUKU 4. Analysis results showed that behavioral lending differs based on their owned core capital. This study implied that BUKU 1 and BUKU 2 tend to implement aggressive strategies to deal with market competition, while BUKU 3 and BUKU 4 prefer to perform the defensive strategy on lending because they have various sources of income that not only depend on the loan. Finally, these findings are in line with policies that have been made by Financial Services Authority (FSA) regarding the categorization of the bank's size based on owned core capital.

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Section: Effect Of Bank Capital On Lending Growth In All Bank Samplesmentioning

confidence: 99%

mentioning

confidence: 99%

mentioning

confidence: 99%

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confidence: 99%

mentioning

confidence: 99%

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Capital and lending growth of banking sector in Indonesia: Study on the BUKU category

Pratama

2019

Jurnal Keuangan Dan Perbankan

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NPL Effect Moderating LDR, Profitability & CAR on Profitability of Indonesian Private Banks

Agustina,

Widya Pratiwi

2024

KSS

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Banks, as central entities within the economic sphere, are responsible for maintaining stability and integration, one aspect of which is preserving profitability. A common measure for evaluating a bank’s performance in generating profits through operational activities, which plays a crucial role in this context. This study aims to investigate the extent to which the loan-to-deposit ratio (LDR), profitability, and capital adequacy ratio (CAR) impacts the return on assets (ROA), with non-performing loans (NPL) serving as a moderating variable. By employing quantitative methods, this research analyzes processed data from the company’s financial reports. The study period spans from 2015 to 2020, a time during which ROA, NPL, operating expense to operating income (BOPO), net interest margin (NIM), and CAR experienced fluctuations in conventional banks, leading to a research gap. The rationale behind this investigation stems from these observed fluctuations. This study focuses on all commercial banks supervised by the financial services authority (OJK), using a sample of 15 national private banks as the population. Data analysis techniques encompass descriptive analysis, partial least squares (PLS), and hypothesis testing. The findings reveal that CAR and LDR do not have a significant impact on ROA. In contrast, NIM and BOPO exert a considerable influence on ROA. However, no substantial effect was observed in the NPL interaction, which moderates the relationship between LDR, BOPO, NIM, and CAR on ROA. Keywords: loan deposit ratio, profitability, capital adequacy ratio, return on assets, non-performing loans

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Economic Policy Uncertainty and Bank Credit Growth in Indonesia

Saputra,

Hendri

2024

J. Theor. Appl. Manage.

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Objective: This study examines the influence of economic policy uncertainty in countries with the largest capital investments in Indonesia, such as Singapore, China, Hong Kong, Japan, the United States, Korea, and the United Kingdom, on the credit growth of commercial banks in Indonesia. Design/Methods/Approach: The sample of this study is all commercial banks in Indonesia from January 2011 to December 2022. This study uses a quantitative approach, using monthly aggregate data on credit growth of commercial banks in Indonesia and economic policy uncertainty data for each country. Hence, the number of observations in this study amounts to 144. This study uses multiple linear regression with the EViews 12 analysis tool. Findings: The findings in this study show that the influence of economic policy uncertainty in the country with the largest capital investment in Indonesia has various influences. Of the several countries that were observed in the study, Japan was one of the countries that had a significant negative impact on the growth of commercial bank credit in Indonesia. Originality/Value: This study complements several previous studies regarding the impact of economic policy uncertainty on Indonesia's micro and macro economy. Studies regarding the impact of economic policy uncertainty on Indonesia's banking credit growth are still limited. Practical/Policy implication: The findings of this study can be used as a reference for banking managers when making decisions such as credit portfolio diversification. By spreading exposure to various sectors and industries, banks can reduce risks related to economic uncertainty in specific sectors. Banking managers need to design products and services that are more creative and adaptive to help banks remain competitive and attract customer interest amidst an uncertain economic situation.

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Modal, Tingkat Likuiditas Bank, NPL Dan Pertumbuhan Kredit Perbankan Indonesia

Cited by 10 publications

References 0 publications

Capital and lending growth of banking sector in Indonesia: Study on the BUKU category

Capital and lending growth of banking sector in Indonesia: Study on the BUKU category

NPL Effect Moderating LDR, Profitability & CAR on Profitability of Indonesian Private Banks

Economic Policy Uncertainty and Bank Credit Growth in Indonesia

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