Pengaruh Loan to Deposit Ratio, Capital Adequacy Ratio, Operating Inefficiency dan Fee Based Income Terhadap Insolvency Risk (Studi Empiris pada Panel Data Bank Umum Konvensional yang Terdaftar di Bursa Efek Indonesia Tahun 2018-2023)

Abstract

This study aims to determine the effect of loan to deposit ratio, capital adequacy ratio, operating inefficiency and fee-based income on insolvency risk in conventional commercial banks listed on the Indonesian stock exchange in 2018-2023. This type of research is causal research, which uses population data from Conventional Commercial Banks listed on the IDX in 2018-2023. The sampling method used in this study was purposive sampling method and obtained 12 companies that passed the criteria with 69 observations. The data analysis technique used is panel data multiple linear regression with the selected fixed effect model. The results revealed that loan to deposit ratio has no effect on insolvency risk, capital adequacy ratio has a significant negative effect on insolvency risk and operating inefficiency has a significant positive effect on insolvency risk while and fee based income has no effect on insolvency risk. These results confirm the importance of good risk management practices, operational efficiency and effective adaptation to various internal and external factors to maintain financial stability and reduce insolvency risk in banks.