Sciences du Nord Economics and Business
Vol. 1 No. 01 (2024): Sciences du Nord Economics and Business

The Effect of Regional Financial Networks on Banking System Stability in Indonesia: A Literature Review of Linkages, Risks, and Impacts in a Macroeconomic Context

Loso Judijanto (IPOSS Jakarta)
Eva Yuniarti Utami (Universitas Sebelas Maret)
Eko Sudarmanto (Universitas Muhammadiyah Tangerang)
Nova Erliyana (UIN Sulthan Thaha Saifuddin Jambi)
Saida Said (Universitas Muhammadiyah Makassar)



Article Info

Publish Date
07 Feb 2024

Abstract

This research conducts a comprehensive literature analysis to explore the linkages, risks, and impacts of regional financial networks on banking system stability in Indonesia within the broader macroeconomic context. The systematic review synthesizes findings from diverse studies, examining both positive and negative dynamics associated with regional financial integration. Positive linkages include enhanced risk-sharing mechanisms and improved access to financial resources, while negative linkages encompass susceptibility to contagion effects and systemic risks. The associated risks, such as credit, market, and operational risks, are identified and discussed. Additionally, the research delves into the multifaceted impacts of regional financial networks on economic growth, financial inclusion, and the resilience of Indonesia's banking sector to external shocks. The synthesis of these findings provides valuable insights for policymakers, financial institutions, and researchers to navigate the challenges and leverage opportunities presented by regional financial networks.

Copyrights © 2024






Journal Info

Abbrev

sneb

Publisher

Subject

Economics, Econometrics & Finance

Description

Sciences du Nord Economics and Business is an open access journal from North Press Publishers. Sciences du Nord Economics and Business an international journal publishing papers that apply quantitative methods to analyze economic, business and management issues and problems published twice a year in ...