Comparison of Indonesian Banking Performance Pre and Post Pandemic Covid-19

Authors

  • Anandhayu Mahatma Ratri University of Merdeka Malang
  • Agung Suwandaru Western Sydney University
  • Harril Brimantyo University of Merdeka Malang
  • Ginanjar Indra Kusuma Nugraha University of Merdeka Malang
  • Almer Rasyid University of Merdeka Malang

DOI:

https://doi.org/10.26905/jbm.v9i1.7637

Keywords:

CAMEL, Banking Performance, Covid-19 Pandemic, Bank Health

Abstract

This research aims to determine and analyze the performance of Indonesia's Banking Sub Sector before and during the pandemic. We apply the CAMEL method to assess the Bank's performance via CAR (Capital Adequacy Ratio), NPL (Non-Performing Loan), NPM (Net Profit Margin), ROA (Return on Assets), and LDR (Loan to Deposit Ratio) in both situations. The sample uses 42 banking companies listed on the Indonesia Stock Exchange from 2019 – 2020. The results show that the CAR, NPL, and NPM values during the pandemic have increased compared to before the pandemic. However, the ROA and LDR values decreased during the pandemic compared to before the pandemic. The other findings exhibit no significant differences in CAR, NPL, NPM, ROA, and LDR on bank performance before and during the pandemic. In conclusion, banks should be aware of changes during the pandemic and will change various financial transactions. The research results are also significant for policymakers to make policies that can facilitate the community and the banking world in the post-pandemic era by paying attention to changes.

Author Biography

Anandhayu Mahatma Ratri, University of Merdeka Malang

Pengaruh Penempatan Dan Kepuasan Kerja Terhadap Kinerja Karyawan (Studi Pada Pg Tjoekir Jombang) CR Devi, EA Susilo, AM Ratri Jurnal Bisnis dan Manajemen 3 (2) 2016 ANALISIS KINERJA KEUANGAN PERUSAHAAN ROKOK MD Adur, W Wiyani, AM Ratri Jurnal Bisnis dan Manajemen 5 (2) 2018 HUBUNGAN BAURAN PEMASARAN DENGAN KEPUASAN KONSUMEN IGB Susila, R Rosswidjajani, AM Ratri Jurnal Bisnis dan Manajemen 4 (2) 2017 THE INFLUENCE OF CORPORATE GOVERNANCE ON FINANCIAL PERFORMANCE AND FIRM VALUE OF THE NATIONAL BANKS (STUDIES IN BANKING COMPANIES LISTED IN INDONESIA STOCK EXCHANGE) AM Ratri, EG Sukoharsono, SR Handayani PROFIT (JURNAL ADMINISTRASI BISNIS) 8 (2) 2014 Analisis Capital Budgeting Sebagai Salah Satu Alat Untuk Mengukur Kelayakan Investasi AM Ratri, M Dzulkirom, A Husaini Jurnal Administrasi Bisnis 1 (1), 8-18 2013 Articles 1–5

References

Ahmad, T., Nugroho, A. S., Abdullah, R., & Sumarto, A. H. (2020). PROYEKSI EKONOMI INDONESIA 2021 JALAN TERJAL PEMULIHAN EKONOMI. INDEF.

Barua, B., & Barua, S. (2021). COVID-19 implications for banks: evidence from an emerging economy. SN Business & Economics, 1(1), 1-28.

Broadstock, D. C., Chan, K., Cheng, L. T., & Wang, X. (2021). The role of ESG performance during times of financial crisis: Evidence from COVID-19 in China. Finance research letters, 38, 101716.

COVID-19, S. T. P. (2021). Peta sebaran Covid 19. Retrieved from https://covid19.go.id/peta-sebaran

Demirgüç-Kunt, A., Pedraza, A., & Ruiz-Ortega, C. (2021). Banking sector performance during the COVID-19 crisis. Journal of Banking & Finance, 133, 106305.

Devi, S., Warasniasih, N. M. S., Masdiantini, P. R., & Musmini, L. S. (2020). The impact of COVID-19 pandemic on the financial performance of firms on the Indonesia stock exchange. Journal of Economics, Business, & Accountancy Ventura, 23(2), 226-242.

Fitriani, P. D. (2020). Analisis komparatif kinerja keuangan bank umum syariah pada masa pandemi Covid–19. Jurnal Ilmu Akuntansi dan Bisnis Syariah (AKSY), 2(2), 113-124.

Ho, C. T., & Zhu, D. S. (2004). Performance measurement of Taiwan's commercial banks. International Journal of Productivity and Performance Management.

Ichsan, R., Suparmin, S., Yusuf, M., Ismal, R., & Sitompul, S. (2021). Determinant of Sharia Bank's Financial Performance during the Covid-19 Pandemic. Budapest International Research and Critics Institute-Journal (BIRCI-Journal), 298-309.

Karim, S., Akhtar, M. U., Tashfeen, R., Raza Rabbani, M., Rahman, A. A. A., & AlAbbas, A. (2021). Sustainable banking regulations pre and during coronavirus outbreak: the moderating role of financial stability. Economic Research-Ekonomska Istraživanja, 1-18.

Krugman, P., Baldwin, R., & Weder di Mauro, B. (2020). Mitigating the COVID Economic Crisis: Act Fast and Do Whatever It Takes. In.

Nicola, M., Alsafi, Z., Sohrabi, C., Kerwan, A., Al-Jabir, A., Iosifidis, C., . . . Agha, R. (2020). The socio-economic implications of the coronavirus pandemic (COVID-19): A review. International journal of surgery, 78, 185-193.

OJK. (2007). Peraturan Bank Indonesia Nomor 9/1/PBI/2007. Retrieved from https://www.ojk.go.id/id/kanal/perbankan/regulasi/peraturan-bank-indonesia/Documents/211.pdf

OJK. (2019). Indonesia’s financial sector: Contributing to sustainable finance. OJK. Presentation during a conference “Living within our planetary limits†(October 2019). Retrieved from https://www.unescap.org/sites/default/files/21_Session%207%20Mr.%20Imansyah_OJK.pdf

OJK. (2021). Laporan Tahunan OJK 2020; Resiliensi untuk Pemulihan Ekonomi yang Berkualitas. Retrieved from https://www.ojk.go.id/id/data-dan-statistik/laporan-tahunan/Documents/LAPORAN%20TAHUNAN%20OJK%202020.pdf

Shen, H., Fu, M., Pan, H., Yu, Z., & Chen, Y. (2020). The impact of the COVID-19 pandemic on firm performance. Emerging Markets Finance and Trade, 56(10), 2213-2230.

Sullivan, V. S., & Widoatmodjo, S. (2021). Kinerja Keuangan Bank Sebelum Dan Selama Pandemi (Covid–19). Jurnal Manajerial Dan Kewirausahaan, 3(1), 257-266.

Surya, Y. A., & Asiyah, B. N. (2020). Analisis Perbandingan Kinerja Keuangan Bank BNI Syariah dan Bank Syariah Mandiri di Masa Pandemi Covid-19. IQTISHADIA Jurnal Ekonomi & Perbankan Syariah, 7(2), 170-187.

Downloads

Published

2022-05-31

Issue

Vol. 9 No. 1 (2022): Jurnal Bisnis dan Manajemen Volume 9 Nomor 1 Tahun 2022

Section

Articles

License

Creative Commons License

Authors who publish with this journal agree to the following terms:

(1) Copyright of the published articles will be transferred to the journal as the publisher of the manuscripts. Therefore, the author confirms that the copyright has been managed by the journal.

(2) Publisher of Jurnal Bisnis dan Manajemen is University of Merdeka Malang.

(3) The copyright follows Creative Commons Attribution–ShareAlike License (CC BY SA): This license allows to Share — copy and redistribute the material in any medium or format, Adapt — remix, transform, and build upon the material, for any purpose, even commercially.