<![CDATA[This study aims to examine the relationships between digital transformation, Good Corporate Governance (GCG), Capital Adequacy Ratio (CAR), and non-performing loans (NPLs), while assessing the moderating role of profitability in these relationships. A quantitative research design was employed using panel data obtained from official reports covering the 2020–2024 period. The data were analyzed using panel data regression and Moderated Regression Analysis (MRA) to examine both the direct effects of digital transformation, GCG, and CAR on NPLs and the moderating effect of profitability. The findings indicate that digital transformation significantly reduces NPLs, suggesting that the adoption of digital technologies, including artificial intelligence, big data, and real-time monitoring, can improve credit assessment and facilitate earlier identification of credit risk. GCG and adequate capital also contribute to strengthening credit risk management. However, profitability does not significantly moderate the relationships between digital transformation, GCG, CAR, and NPLs. These findings highlight the importance of integrating digital capabilities, effective governance, and capital resilience into banking risk-management strategies to support more effective and sustainable credit risk management.]]>
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