ARTICLE
TITLE

DETERMINANTS OF PROFITABILITY OF SHARIA REGIONAL DEVELOPMENT BANKS IN INDONESIA 2014-2017DOI: 10.26740/al-uqud.v3n1.p1-17

SUMMARY

This study aims to determine the effect of Third Party Funds, Financing to Deposit Ratio (FDR), Profit Sharing and Non-Performing Financing (NPF) on the profitability of Sharia BPDs in Indonesia in 2014-2017. Measurement of profitability uses the Return on Asset (ROA) ratio . The data used is obtained through the financial statements of the Regional Development Bank (BPD) Sharia known as the Islamic Development Bank. This research method uses a quantitative approach using panel data regression analysis techniques using EViews 10.0 software. The results of statistical tests show that the variables of Third Party Funds and Non Performing Financing (NPF) have a negative and significant effect on the profitability of the Syariah BPD. While the Financing to Deposit Ratio (FDR) and Profit Sharing Financing variables have no significant effect on the profitability of the Sharia BPD.   

 Articles related

Marcin Korytowski    

The purpose of this article is to examine the impact of selected internal and external factors on a bank’s profitability. The research investigates the impact of operational size, liquidity, risk appetite, management efficiency, product diversification, ... see more


Mehmet Sabri Topak,Nimet Hülya Talu    

In this study, we attempt to determine the bank-specific and macroeconomic determinants of commercial banks in Turkey over the period 2005 -2015. A balanced panel data set has been formed covering 43 periods between the dates of January 2005 and Septembe... see more


Sanderson Abel,Pierre Le Roux    

The study sought to establish the determinants of banking sector profitability in Zimbabwe during the period 2009-2014. The study specifically looked at the evolution and determinants of banking sector profitability after Zimbabwe adopted a multicurrency... see more


Eric Kofi Boadi,Yao Li,Victor Curtis Lartey    

This paper analyzes bank specific, macroeconomic and some risk determinants of bank profitability of Rural and Community Banks (RCBs) in Ghana. Fixed effect panel regression analysis is applied on 114 RCBs annual financial reports during the period 2005-... see more


Muhamad Muda,Amir Shaharuddin,Abdelhakim Embaya    

This paper is conducted to compare the determinants of profitability of the domestic and foreign Islamic banks operating in Malaysia. The Generalized Least Square (GLS) is employed with unbalanced panel data on seventeen Islamic banks, using quarterly da... see more