The Covid 19 pandemic that occurred at the beginning of 2020 in Indonesia caused a decline in the economy in all countries, including Indonesia. Banks as financial intermediaries that accept public deposits and provide loans to the public are also affected. Based on the law, the banking structure in Indonesia consists of Commercial Banks and Rural Banks. One of the commercial banks that has different characteristics compared to other commercial banks is the Regional Development Bank (BPD). Regional Development Banks play a strategic role in becoming partners with the Government, in addition to that BPDs function as motors for accelerating regional development by carrying out the Bank's function as a banking intermediary (Haeri, 2021). This research is to examine the effect of Covid 19 on the performance of Regional Development Banks in Indonesia. The bank performance that will be tested consists of non-performing loans (NPL), loan to deposit ratio (LDR), return on equity (ROE), return on assets (ROA), capital adequacy ratio (CAR), and operating expense to operating income ratio (OEIR). The population of this study were all regional development banks in Indonesia, consisting of 27 banks with a sample of 20 banks using purposive sampling technique, namely those with complete data. Observation period for two years before and two years during Covid-19 (2018 to 2021) with quarterly data. To test the hypothesis used independent t test. The results showed that Covid-19 had a significant effect on NPL, while it did not have a significant effect on LDR, ROE, ROA, and OEIR.
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