Green Banking, Bank Health and Profitability with Corporate Social Responsibility as a Moderating Variable

Corinna Octavia Kweeswara (Faculty of Economics, Universitas Katolik Parahyangan, Indonesia)
Judith Felicia Pattiwael Irawan (Faculty of Economics, Universitas Katolik Parahyangan, Indonesia)

E-Jurnal Akuntansi
Vol. 33 No. 4 (2023)

The aim of the study was to find out green banking practices carried out by the Modal Inti Bank Group (KBMI) 3 during the pandemic, including CSR, as well as the bank's health condition. The research is based on the theory of Socially Responsible Investment and the concept of bank soundness. The research sample is the KBMI 3 bank listed on the IDX. The data analysis technique uses multiple and simple linear regression methods. The results showed that the BOPO variable had a negative effect on bank profitability. Meanwhile, other variables have no effect. Thus, the research results provide findings that during a pandemic, the KBMI 3 bank focused on maintaining cost efficiency, one measure of bank health. The research results are in line with the concept of bank soundness. The research contribution is that in the conditions of Covid-19, the KBMI 3 bank supports sustainability but maintains more cost efficiency.