<![CDATA[The shift in Indonesian financial accounting standards from PSAK 55 to PSAK 71, effective January 1, 2020, changed the Allowance for Impairment Losses (CKPN) approach for Rural Banks (BPR) from an incurred loss model to a forward-looking expected credit loss model. This change may affect CKPN and BPR profitability, measured by Return on Assets (ROA), while previous empirical findings remain inconsistent. This study examines differences in CKPN formation between PSAK 55 and PSAK 71 and analyzes the effects of total assets, Loan to Deposit Ratio (LDR), third-party funds (DPK), and total loans on ROA, with Non-Performing Loan (NPL) and CKPN as moderating variables. A quantitative comparative approach was applied to 17 BPRs selected purposively based on complete financial reports published consistently from 2019 to 2024, resulting in 102 observations. Data were analyzed using classical assumption tests, panel data regression, and Moderated Regression Analysis (MRA) with EViews 13. The results show that total assets, LDR, DPK, and total loans simultaneously and significantly affect ROA, explaining 40.85% of its variation, although none is individually significant at the 5% level. NPL moderates the relationship between LDR and ROA, while CKPN does not moderate any tested relationship. These findings indicate that BPR profitability reflects collective financial factors and credit quality.]]>
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