The Impact of Income Diversification on Bank Stability In Indonesia: A Comparative Analysis of Conventional Bank And Sharia Bank in 2019-2023

Abstract

This study aims to determine whether income diversification has an impact on the stability of Islamic banks and conventional banks in Indonesia in the period 2019-2023. This research is quantitative research data by 10 samples from 5 years using the purposive sample method. The study founds, Income Diversification has a significant positive effect on the stability of Islamic banks and is not significant on the stability of conventional banks, differences impact of income diversification on different types of banks, bank debt has a negative but insignificant effect on the stability of conventional banks, bank debt has a negative but insignificant effect on the stability of Islamic banks, similar effect of bank debt on stability different types of banks, bank size has a positive insignificant effect on the stability of conventional banks, bank size has a positive significant effect on Islamic banks stability and there are differences in the impact of bank size on the stability of different types of banks.