Analisis Pengaruh Kompetisi terhadap Risiko Kredit Bank di Asean

Abstract

This study aims to determine the effect of competition on bank credit risk in ASEAN. In this study, the dependent variable used is credit risk with non-performing loan (NPL) as the indicator. The independent variable used in this study is competition which is calculated using the lerner index indicator, where the lerner index is the inverse proxy of the level of competition. This research is supported by six control variables including credit growth, return on assets (ROA), bank size, income diversification, return on equity (ROE), and risk weighted assets (RWA). This research uses descriptive quantitative research, where the regression model used is dynamic panel data estimated using the Generalized Method of Moment (GMM). The population for this research object is taken from 101 banks located in six countries in ASEAN. Determining the research sample based on the population used purposive sampling method, so that 84 banks were selected that met the criteria set by the researcher. The data source used in this study is secondary data, which is the annual financial publication report of each bank institution that is the object of research. Based on data testing and estimation, the research results obtained show that the independent variable of competition has a negative and significant effect on the dependent variable of credit risk.