Factor Affecting Liquidity of Commercial Banks in Indonesia

Banks need to maintain soundness levels, one of which is the level of liquidity. Bank liquidity will be tested in the case of “Bank Runs”, which occurred frequently both in Indonesia and in the world. The main purpose of this study is to develop an understanding of factors that affect liquidity in t...

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Main Authors: Evan Hartanto, Vera Intanie Dewi, Budi Tjahja Halim
Format: Article
Language:English
Published: Bandung: Prodi Manajemen FE Universitas Langlangbuana 2023-12-01
Series:Almana: Jurnal Manajemen dan Bisnis
Subjects:
Online Access:http://journalfeb.unla.ac.id/index.php/almana/article/view/2215
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author Evan Hartanto
Vera Intanie Dewi
Budi Tjahja Halim
author_facet Evan Hartanto
Vera Intanie Dewi
Budi Tjahja Halim
author_sort Evan Hartanto
collection DOAJ
description Banks need to maintain soundness levels, one of which is the level of liquidity. Bank liquidity will be tested in the case of “Bank Runs”, which occurred frequently both in Indonesia and in the world. The main purpose of this study is to develop an understanding of factors that affect liquidity in the banking sector with a focus on bank groups that belong to the category of Bank Group based on Core Capital (KBMI) 4. This study was explanatory research. Data were collected using the documentation method from the financial data of KBMI 4 banks. The sample for this study consisted of 4 banks. The results of the study showed that NPL had a negative effect on LDR and NWC had a positive effect on LDR, while CAR did not affect LDR.
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spelling doaj.art-d1a84fd43565456d9cf6b8693cfb05ef2024-01-04T02:13:23ZengBandung: Prodi Manajemen FE Universitas LanglangbuanaAlmana: Jurnal Manajemen dan Bisnis2579-48922655-83272023-12-017349950710.36555/almana.v7i3.22152215Factor Affecting Liquidity of Commercial Banks in IndonesiaEvan Hartanto0Vera Intanie Dewi1Budi Tjahja Halim2Universitas Katolik Parahyangan, IndonesiaUniversitas Katolik Parahyangan, IndonesiaUniversitas Katolik Parahyangan, IndonesiaBanks need to maintain soundness levels, one of which is the level of liquidity. Bank liquidity will be tested in the case of “Bank Runs”, which occurred frequently both in Indonesia and in the world. The main purpose of this study is to develop an understanding of factors that affect liquidity in the banking sector with a focus on bank groups that belong to the category of Bank Group based on Core Capital (KBMI) 4. This study was explanatory research. Data were collected using the documentation method from the financial data of KBMI 4 banks. The sample for this study consisted of 4 banks. The results of the study showed that NPL had a negative effect on LDR and NWC had a positive effect on LDR, while CAR did not affect LDR.http://journalfeb.unla.ac.id/index.php/almana/article/view/2215carliquiditynplnet working capitalbank
spellingShingle Evan Hartanto
Vera Intanie Dewi
Budi Tjahja Halim
Factor Affecting Liquidity of Commercial Banks in Indonesia
Almana: Jurnal Manajemen dan Bisnis
car
liquidity
npl
net working capital
bank
title Factor Affecting Liquidity of Commercial Banks in Indonesia
title_full Factor Affecting Liquidity of Commercial Banks in Indonesia
title_fullStr Factor Affecting Liquidity of Commercial Banks in Indonesia
title_full_unstemmed Factor Affecting Liquidity of Commercial Banks in Indonesia
title_short Factor Affecting Liquidity of Commercial Banks in Indonesia
title_sort factor affecting liquidity of commercial banks in indonesia
topic car
liquidity
npl
net working capital
bank
url http://journalfeb.unla.ac.id/index.php/almana/article/view/2215
work_keys_str_mv AT evanhartanto factoraffectingliquidityofcommercialbanksinindonesia
AT veraintaniedewi factoraffectingliquidityofcommercialbanksinindonesia
AT buditjahjahalim factoraffectingliquidityofcommercialbanksinindonesia