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Journal : Falah : Jurnal Ekonomi Syariah

Financial Distress Before and During Pandemic Covid-19: Is Islamic Banking in Indonesia Resilience? Fadhila Meithasari Nurtjahjo; Tita Nursyamsiah; Mohammad Iqbal Irfany
Falah: Jurnal Ekonomi Syariah Vol. 7 No. 2 (2022): AUGUST
Publisher : Universitas Muhammadiyah Malang

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.22219/jes.v7i2.20115

Abstract

This study aims to predicts financial distress before and during the pandemic and to analyze the influence factors on the financial distress of sharia commercial banks in Indonesia. This study was quantitatif used purposive sampling method with twelve Islamic commercial banks in Indonesia as samples based on these criteria. Data were analyzed and processed by using Microsoft Excel 2016 and SPSS 22 software. The result found that most Islamic banks in Indonesia were in a positive financial condition before and during the pandemic Covid-19. Further, the result also found that NOM had a significant negative effect in all models, OER had a significant positive impact in all models, CAR had a significant negative effect in the first and second models, and GDP had a significant negative impact in the second until fifth models. Meanwhile, size, exchange rate, and inflation do not significantly affect financial distress of Islamic commercial banks in Indonesia before and during the pandemic Covid-19.
Determinants of Islamic and Conventional Banking Insolvency Risk in Indonesia Fitriyatustany Fitriyatustany; Mohammad Iqbal Irfany; Tita Nursyamsiah
Falah: Jurnal Ekonomi Syariah Vol. 9 No. 2 (2024): AUGUST
Publisher : Universitas Muhammadiyah Malang

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.22219/jes.v9i2.35116

Abstract

The insolvency risk has an important part in the development and sustainability of the banking industry. The fall in financial parameters due to the Covid-19 outbreak suggests that banks are at risk of insolvency. The study aims to detect and assess developments in insolvency risk in Islamic and conventional banking between 2018 and 2023. The methods used were Z-score, X-score, G-score, and panel data regression. The results indicate that internal factors, namely Loans to Assets at the Top Four Conventional Commercial Banks (BUK), Cost Income Ratio at BUK, Income Diversity, and Total Assets at Islamic Commercial Banks (BUS), have a significant negative effect on the Z-score value. External factors, namely Gross Domestic Product at BUS and BUK, have a substantial negative effect, and Interest Rates at BUK have a significant positive effect on the Z-score value. Islamic and conventional banking must preserve the bank's health by increasing capital, retaining factors important to the Z-score, and conducting additional research with more diversified variables and objects to improve efficiency and stability. A more thorough theoretical model for recognizing and controlling insolvency risk in both kinds of banking can be created using these insights. The article’s conclusions can help Indonesian banks create more effective risk management plans.
Co-Authors Aam Slamet Rusydiana Aam Slamet Rusydiana Aam Slamet Rusydiana, Aam Slamet Aceng Hidayat Achsani, Muhammad Nur Faaiz Fathah Afiana, Riyyun Ahmad Izzuddin Aisyah, Tasya Nur Al Muharram, Muhammad Shiddiq Al Zahroh, Dina Naba Albajili, Abi Nubli Alda Luthfiana Alfiasari Alghifari, Ahmad Fadli Amirah, Nurul Anggini, Karlita Anggraini, Lilik Asep Nurhalim Aulia Nur Cahyani Cahyaningrum, Laeli Dyah Tantri Camara, Bumi Daffa Aqomal Haq Daffa Aqomal Haq Dharmarianti, Dian Putri Dwi Hastuti Edi Santosa Eka Maulidiya, Sherly Erliza Noor Euis Sunarti Fadhila Meithasari Nurtjahjo Fiona Ramadhini Fitri, Resfa Fitriyatustany Fitriyatustany Handian Purwawangsa Haq, Daffa Aqomal Hasanah, Qoriatul Herlin, Herlin Hutajulu, Ivonia R. Ikhsana, Nadya Ramadhani Indah Sulistya Indriansyah, Albertty Intan Aulia Ardhani Irfan Syauqi Beik Isbayu, Muhammad Istiqlaliyah Muflikhati Izzah, Hanifah Nurul JAENAL EFFENDI Kusumaningrum, Devina D. Laily Dwi Arsyianti Lilik Noor Yuliati Luthfiana, Alda Maulidiya, Sherly Eka Mayadis, Diki Candra Melinda, Vera Melly Latifah Muhammad Afifuddin Abdurrosyid Kamil Muhammad Wildan Syakuro Muslich, Muhammad Ayyub Mustika Mustika Muthohharoh, Marhamah Nadiya Ulfa Neneng Hasanah Neneng Hasanah Ningsih, Sri Rahayu Nur Wulan Nursyamsiyah, Tita Oktaviona, Winda Priyanto, Anindia Meil Putri, Fatimah Iskandar Putri, Syifa Izzati Anzania Putri, Uly Anggraeni Qoriatul Hasanah Rafki, Muhammad Rahmat, Muhammad Alifka Rahmawati, Nur Fajri Ramadhini, Fiona Ramadini, Kintan Nur Ramdhani, Arlita Ranti Wiliasih Rezkyarta, Alif Rosmala, Novia Setiawan, Alfianto Hendry Sofina Mujadiddah Sri Rahayu Sri Rahayu Ningsih Susanto, Astiani Suwandi, Syifa Damaianti Tamaulina Br Sembiring Tiara Early Afifah Tieman, Marco Tita Nursyamsiah Tita Nursyamsiah, Tita Tsany, Fadhlan Tsany, Fadhlan Muhammad Ulfa, Nadiya Ulhaqqi, Muhammad Fikra Yafi Vitriara Ahsana Nadya Widya Syafitri Yulina Eva Riany Zidan, Muhamad