COMPARATIVE STUDY OF SUSTAINABILITY REPORTING ON THE BANKING INDUSTRY IN SEVERAL COUNTRIES
The level of credit risk or credit quality, which can be measured by the ratio of Non-Performing Loans (NPL), can be seen as a form of representation in companies, particularly in the banking sector. The purpose of this study is to determine the impact of Sustainability Report disclosure, specific...
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| Format: | Article |
| Language: | English |
| Published: |
Journal of Smart Economic Growth
2022-07-01
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| Series: | Journal of Smart Economic Growth |
| Online Access: | https://jseg.ro/index.php/jseg/article/view/170 |
| _version_ | 1797252136877162496 |
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| author | Jessabel Gellidon Yanuar Nanok Soenarno |
| author_facet | Jessabel Gellidon Yanuar Nanok Soenarno |
| author_sort | Jessabel Gellidon |
| collection | DOAJ |
| description | The level of credit risk or credit quality, which can be measured by the ratio of Non-Performing Loans (NPL), can
be seen as a form of representation in companies, particularly in the banking sector. The purpose of this study
is to determine the impact of Sustainability Report disclosure, specifically in each dimension of Economic,
Environmental, and Social Disclosure, on the credit risk level of each banking company in Indonesia, Singapore,
and Malaysia, as measured by the NPL ratio. This study collected 129 samples from banking sector companies
in Indonesia, Singapore, and Malaysia over a three-year period, from 2018 to 2020, using the purposive sampling
method. Multiple Linear Regression was also utilized in this study to evaluate and determine the impact of each
component of the Sustainability Report disclosure on the NPL ratio, as well as other control variables. According
to the study's findings, the overall disclosure of the Sustainability Report has a significant influence on the NPL
ratio in Indonesian and Singaporean banking sector companies, but not in Malaysian companies. Although
partially, Economic Disclosure has a negative and significant impact on NPL in Singapore, whereas Environmental
Disclosure only has an impact on the NPL ratio in Malaysia, and the final factor is the impact of Social Disclosure,
which has a negative and significant impact on NPL in Indonesia. |
| first_indexed | 2024-04-24T21:13:23Z |
| format | Article |
| id | doaj.art-cad343af4b114c33bf870388052c34dd |
| institution | Directory Open Access Journal |
| issn | 2537-141X |
| language | English |
| last_indexed | 2024-04-24T21:13:23Z |
| publishDate | 2022-07-01 |
| publisher | Journal of Smart Economic Growth |
| record_format | Article |
| series | Journal of Smart Economic Growth |
| spelling | doaj.art-cad343af4b114c33bf870388052c34dd2024-03-21T18:56:04ZengJournal of Smart Economic GrowthJournal of Smart Economic Growth2537-141X2022-07-01713552170COMPARATIVE STUDY OF SUSTAINABILITY REPORTING ON THE BANKING INDUSTRY IN SEVERAL COUNTRIESJessabel Gellidon0Yanuar Nanok Soenarno1Atma Jaya Catholic University of IndonesiaAtma Jaya Catholic University of IndonesiaThe level of credit risk or credit quality, which can be measured by the ratio of Non-Performing Loans (NPL), can be seen as a form of representation in companies, particularly in the banking sector. The purpose of this study is to determine the impact of Sustainability Report disclosure, specifically in each dimension of Economic, Environmental, and Social Disclosure, on the credit risk level of each banking company in Indonesia, Singapore, and Malaysia, as measured by the NPL ratio. This study collected 129 samples from banking sector companies in Indonesia, Singapore, and Malaysia over a three-year period, from 2018 to 2020, using the purposive sampling method. Multiple Linear Regression was also utilized in this study to evaluate and determine the impact of each component of the Sustainability Report disclosure on the NPL ratio, as well as other control variables. According to the study's findings, the overall disclosure of the Sustainability Report has a significant influence on the NPL ratio in Indonesian and Singaporean banking sector companies, but not in Malaysian companies. Although partially, Economic Disclosure has a negative and significant impact on NPL in Singapore, whereas Environmental Disclosure only has an impact on the NPL ratio in Malaysia, and the final factor is the impact of Social Disclosure, which has a negative and significant impact on NPL in Indonesia.https://jseg.ro/index.php/jseg/article/view/170 |
| spellingShingle | Jessabel Gellidon Yanuar Nanok Soenarno COMPARATIVE STUDY OF SUSTAINABILITY REPORTING ON THE BANKING INDUSTRY IN SEVERAL COUNTRIES Journal of Smart Economic Growth |
| title | COMPARATIVE STUDY OF SUSTAINABILITY REPORTING ON THE BANKING INDUSTRY IN SEVERAL COUNTRIES |
| title_full | COMPARATIVE STUDY OF SUSTAINABILITY REPORTING ON THE BANKING INDUSTRY IN SEVERAL COUNTRIES |
| title_fullStr | COMPARATIVE STUDY OF SUSTAINABILITY REPORTING ON THE BANKING INDUSTRY IN SEVERAL COUNTRIES |
| title_full_unstemmed | COMPARATIVE STUDY OF SUSTAINABILITY REPORTING ON THE BANKING INDUSTRY IN SEVERAL COUNTRIES |
| title_short | COMPARATIVE STUDY OF SUSTAINABILITY REPORTING ON THE BANKING INDUSTRY IN SEVERAL COUNTRIES |
| title_sort | comparative study of sustainability reporting on the banking industry in several countries |
| url | https://jseg.ro/index.php/jseg/article/view/170 |
| work_keys_str_mv | AT jessabelgellidon comparativestudyofsustainabilityreportingonthebankingindustryinseveralcountries AT yanuarnanoksoenarno comparativestudyofsustainabilityreportingonthebankingindustryinseveralcountries |