ANALISIS HUBUNGAN JANGKA PANJANG DAN JANGKA PENDEK ANTARA NPL, ROE, SIZE DAN LOTA TERHADAP CAPITAL BUFFER

Abstract

This study aimed to analyze the effect of Non-Performing Loans, Return on
Equity, bank size, and Loan to Total Assets of the capital buffer using panel data. The
population in this study was State Owned Banks registered in Bank Indonesia for the
period 2002 to 2014. In this study all the population used as an object of study and the
type of data used in this research was quarterly data.
Data were analyzed using cointegration test and Error Correction Model to
demonstrate short and long term relationship. The results showed that in the short term,
the Non Performing Loan and Return on Equity have a positive influence on
equilibrium of capital buffers in goverment bank. Furthermore, the size of bank
negatively affect the equilibrium of capital buffers in the short term. Besides the longterm relationship, the Non Performing Loan and Return on Equity also has a positive
effect on the equilibrium of capital buffers in state-owned commercial banks.
Meanwhile, Loan to Total Assets have a negative effect on the equilibrium of capital
buffers in the long term