DOI: https://doi.org/10.14710/jedsr.v1i1.12530

Analysis of Non Performing Loans in Indonesian Banking (Case Study on MSMES 2017Q1 – 2019Q4)

*Audrya Luthfi Putri  -  Departemen IESP Fakultas Ekonomika dan Bisnis Universitas Diponegoro, Indonesia
Fransiscus Xaverius Sugiyanto  -  Departemen IESP Fakultas Ekonomika dan Bisnis Universitas Diponegoro, Indonesia
Open Access Copyright 2021 Audrya Luthfi Putri
Creative Commons License This work is licensed under a Creative Commons Attribution 4.0 International License.

Citation Format:
Abstract
Lending is the main activity of banks in generating profits, but the biggest risks are also derived from lending. According to the financial services authority of Indonesia statistics, based on the type of use, the most credit distribution is micro small and medium enterprises (MSMEs). It can be concluded that credit is the main target of lending by banks. This research was conducted to analyze how internal bank factors can affect bad MSMEs credit Indonesian banks in the first quarter of 2017 to the fourth quarter of 2019 with a CAMEL analysis approach. Independent variables used are Capital, Assets, Management, Earning, and Liquidity, each of which is proxied using CAR, KAP, NIM, ROA, and LDR ratios. The dependent variable used is bad credit, which is proxied by the NPL ratio. The data panel method is used to quantitatively estimate the parameters in the model. The results showed that banking capital fluctuated during 12 quarters, namely from 2017 to 2019. In terms of liquidity, it is known that some banks have liquidity ratios above the tolerance limit set by Bank Indonesia. It is necessary to have control of bank management to inhibit the aggressiveness of lending, as well as to raise deposit rates for banking funding to increase.
Fulltext View|Download
Keywords: Bad Credit, Lending, MSMEs Credit, CAMEL Analysis

Article Metrics:

Article Info
Section: Articles
Language : ID
Recent articles
Decision Making Analysis on The Use of The Mobile Wallet As A Payment Transaction Tool (Case Study of Diponegoro University Students, Semarang) Analysis of Non Performing Loans in Indonesian Banking (Case Study on MSMES 2017Q1 – 2019Q4) Multiplier and Velocity of Money Relationship of Cartal and Electronic in Indonesia 2009.Q1-2018.Q4 More recent articles
  1. Asaduzzaman, A.R. dan Hossin, S. (2016), “Impact of Financial Ratios on Non- Performing Loans of Publicly Traded Commercial Banks in Bangladesh”, International Journal of Financial Research, 8(1), DOI: 10.5430/ijfr.v8n1p181
  2. Bradley, M., Jarrell, G.A. dan Kim, E.H. (1984), “On the Existence of an Optimal Capital Structure: Theory and Evidence”. The Journal of Finance, 39: 857-878. https://doi.org/10.1111/j.1540-6261.1984.tb03680.x
  3. Ball, R. dan Watts, R. (1972), “Some Time Series Properties of Accounting Income”,
  4. Journal of Finance, 27, (3), 663-81
  5. Bongomin, G.O.C.M., John C., Ntayi, J.M. dan Malinga, C.A. (2017), “Financial literacy in emerging economies: Do all components matter for financial inclusion of poor households in rural Uganda?”, Managerial Finance, 43, issue 12, p. 1310-1331, https://EconPapers.repec.org/RePEc:eme:mfipps:mf-04-2017-0117
  6. Carolina, A. dan Madyan, M. (2015), “Dampak Bank Spesific Variables pada Rasio Non Performing Loan dalam Sistem Perbankan Indonesia”, Jurnal Manajemen Teori dan Terapan, Vol 8(3)
  7. Chan-Lau, J.A. dan Chen, Z. (1998), “Financial Crisis and Credit Crunch as a Result of Inefficient Financial Intermediation--With Reference to the Asian Financial Crisis”, IMF Working Paper 98/127, Available at SSRN: https://ssrn.com/abstract=96622 or
  8. Choudhry, M. (2018). An Introduction to Banking: Principles, Strategy and Risk Management. United Kingdom: John Wiley & Sons Ltd. ISBN: 9781119115915 (ePDF)
  9. Clemenz, G. (1986). Credit Markets with Asymmetric Information. Springer-Verlag Berlin Heidelberg. e-ISBN-13: 978-3-642-45614-5. DOI: 10.1007/978-3-642-45614-5
  10. Creswell, J.W. dan Creswell, J.D. (2018). Research Design: Qualitative, Quantitative, and Mixed Methods Approaches (5th Edition). Los Angeles: SAGE Publications. ISBN 10: 1-5063-8671-7
  11. DeGennaro, R.P. (2005), “Market Imperfections. Journal of Financial Transformation”, FRB Atlanta Working Paper No. 2005-12, Vol. 14, Available at SSRN: https://ssrn.com/abstract=775866
  12. Delbufalo, E. (2018). Agency Theory and Sustainability in the Global Supply Chain. Switzerland: Springer. ISBN 978-3-319-72793-6 (eBook). https://doi.org/10.1007/978-3-319-72793-6
  13. Dendawijaya, L. (2003). Manajemen Perbankan. Jakarta: Penerbit Ghalia Indonesia. Dendawijaya, L. (2009). Manajemen Perbankan, Edisi kedua. Jakarta: Penerbit Ghalia
  14. Indonesia
  15. Eisenhardt, K. (1989), “Agency Theory: An Assesment and Review”, Academy of Management Review, 14(57-74)
  16. Espinoza, R.A., dan Prasad, A. (2010), “Nonperforming Loans in the GCC Banking System and their Macroeconomic Effects”, International Monetary Fund Working Paper WP/10/224
  17. Fayezi, S., O'Loughlin, A. dan Zutshi, A. (2012), “Agency theory and supply chain management : a structured literature review”, Supply chain management : an international journal, vol. 17, no. 5, Special Issue: Building theory in supply chain management through “systematic reviews” of the literature part 2, pp. 556-570
  18. Firdaus, M. (2019). Aplikasi Ekonometrika untuk Data Panel dan Time Series. Bogor: Penerbit IPB Press. E-ISBN: 978-602-440-851-0
  19. Ghosh, A. (2015), “Banking-industry specific and regional economic determinants of non- performing loans: Evidence from US states”, Journal of Financial Stability, 20, p.93- 104, https://EconPapers.repec.org/RePEc:eee:finsta:v:20:y:2015:i:c:p:93-104
  20. Ghozali, I. (2011). Aplikasi Analisis Multivariate Dengan Program SPSS. Semarang: Badan Penerbit Universitas Diponegoro
  21. Grimes, A. dan Claus, I. (2003). “Asymmetric Information, Financial Intermediation and the Monetary Transmission Mechanism: A Critical Review”, New Zealand Treasury Working Paper 03/19
  22. Gujarati, D.N. dan Porter, D.C. (2012). Dasar-Dasar Ekonometrika (Buku 2 Edisi 5)
  23. Jakarta: Penerbit Salemba Empat
  24. Guo, Y., Holland, J. dan Kreander, N. (2013). “Establishing bank–corporate relationships and building competitive advantages”, Journal of Financial Services Marketing, 18, 27–39 https://doi.org/10.1057/fsm.2013.3
  25. Jensen, M.C. dan Meckling, W.H. (1976), “Theory of the firm: Managerial behavior, agency costs and ownership structure”, Journal of Financial Economics, Volume 3, Issue 4, p. 305-360, ISSN 0304-405X. https://doi.org/10.1016/0304-405X(76)90026- X
  26. Jusmansyah, M. dan Sriyanto, A. (2013), "Analisis Pengaruh CAR, BOPO dan ROA Terhadap Non Performance Loan", Jurnal Akuntansi dan Keuangan, Vol 2 (1)
  27. Kasmir. (2012). Manajemen Perbankan. Jakarta: PT RajaGrafindo Persada
  28. Kementrian KUKM. (2020). Perkembangan Data Usaha Mikro, Kecil, Menengah (UMKM) dan Usaha Besar (UB). Dipetik Maret 2020, dari http://www.depkop.go.id/
  29. Leland, H. dan Pyle, D.H. (1977), “Informational Asymmetries, Financial Structure, and Financial Intermediation”, Journal of Finance, 32, issue 2, p. 371-87, https://EconPapers.repec.org/RePEc:bla:jfinan:v:32:y:1977:i:2:p:371-87
  30. Maulana, W. (2018). “Penilaian Tingkat Kesehatan Perbankan Melalui Camel Analysis Pada PT. BANK HSBC INDONESIA”, Wacana Equiliberium (Jurnal Pemikiran Penelitian Ekonomi), 6(02), 1-12. https://doi.org/10.31102/equilibrium.6.02.1-12
  31. Matthews, K. dan Thompson, J. (2008). The Economics of Banking. United States: John Wiley & Sons, Inc
  32. Mishkin, F.S. (2008). Ekonomi Uang, Perbankan, dan Pasar Keuangan (Edisi 8). Jakarta: Penerbit Salemba Empat
  33. Mukhlis, I. (2011), “Penyaluran Kredit Bank Ditinjau Dari Jumlah Dana Pihak Ketiga dan Tingkat Non Performing Loans”, Jurnal Keuangan dan Perbankan, 15(1): 130–138
  34. Nisaputra, R. (2018, November 15). LDR Menigkat, BI Terus Pantau Kecukupan Likuiditas Perbankan. Infobank News. Dipetik Desember 2020, dari https://infobanknews.com/
  35. Otoritas Jasa Keuangan. (2020). Statistik Perbankan Indonesia. Dipetik Maret 2020, dari https://www.ojk.go.id/
  36. Pradhan, R.S. dan Pandey, A. (2016), “Bank Specific and Macroeconomic Variables Affecting Non-Performing Loans of Nepalese Commercial Banks”, SSRN Electronic Journal, DOI: 10.2139/ssrn.2793495
  37. Rivai, V., Basir, S., Sudarto, S. dan Veithzal, A.P. (2013). Commercial Bank Management
  38. Jakarta: PT RajaGrafindo Persada
  39. Saif-Alyousfi, A.Y.H., Md-Rus, R., Taufil-Mohd, K.N., Mohd Taib, H. dan Shahar, H.K. (2020), "Determinants of capital structure: evidence from Malaysian firms", Asia- Pacific Journal of Business Administration, Vol. ahead-of-print No. ahead-of-print. https://doi.org.proxy.undip.ac.id/10.1108/APJBA-09-2019-0202
  40. Santoso, R.T. (1995). Prinsip Dasar Akuntansi Perbankan, Edisi Pertama, Cetakan Pertama. Yogyakarta: Andi Offset
  41. Sekaran, U. dan Bougie, R. (2017a). Metode Penelitian untuk Bisnis: Pendekatan Pengembangan-Keahlian, Edisi 6, Buku 1, Cetakan Kedua. Salemba Empat: Jakarta Selatan
  42. -------------------------------------. (2017b), Metode Penelitian untuk Bisnis: Pendekatan Pengembangan-Keahlian, Edisi 6, Buku 2. Salemba Empat: Jakarta Selatan
  43. Siringoringo, R. (2012). "Karakteristik Dan Fungsi Intermediasi Perbankan Di Indonesia," Bulletin of Monetary Economics and Banking, Bank Indonesia, vol. 15(1), pages 1- 24, July. DOI: https://doi.org/10.21098/bemp.v15i1.57
  44. Wati, D., Susyanti, J. dan Salim, M.A. (2018). “Pengaruh Rasio Camels Dan Bank Size Terhadap Non Performing Loan (NPL) pada Bank BUMN di Indonesia”. e – Jurnal Riset Manajemen
  45. Wijayanti, S.A. (2017). Analisis Pengaruh CAR, NPL, ROA, dan LDR terhadap Penyaluran Kredit UMKM pada Kelompok Bank di Indonesia Tahun 2012-2016. Skripsi tidak dipublikasikan
  46. Yoga, P. (2016, April 1). Menimbang Pembatasan NIM. Infobank News. Dipetik Desember 2020, dari https://infobanknews.com/

Last update:

No citation recorded.

Last update:

No citation recorded.