Analysis Of Factors Influencing Non-Performing Loans

Authors

  • Adibah Yahya Universitas Pelita Bangsa
  • Taufik Hidayat Universitas Pelita Bangsa
  • Niken Cahyaning Mega Pratiwi Universitas Pelita Bangsa

Keywords:

Financial ratio, Non-Performing Loan, Return on assets

Abstract

The bank is an intermediary between parties needing funds and those with excess funds. The bank's main activity is channelling funds in the form of credit to parties who need funds. Credit distribution has a credit risk that arises when creditors cannot fulfil obligations according to the agreed time. Credit risk can be calculated using the Non-Performing Loan (NPL) ratio. This study aims to determine the effect of CAR, BOPO, LDR, ROA and LAR on NPL at PT. Bank Mandiri in 2001-2019. This research is a quantitative descriptive study, using multiple linear regression analysis techniques. The research object of PT. Bank Mandiri with saturated sampling technique. The results showed that CAR. BOPO, LDR, and LAR have no effect on NPL. Meanwhile, ROA has a negative effect on NPL.

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Published

2023-09-30

Issue

Vol. 1 No. 01 (2023): September 2023

Section

Articles