Analysis of the Bank Specific Factors, Macroeconomics and Oil Price on Dividend Policy

Abstract

The purpose this study to find variables that can influence dividend policy using the dividend payout ratio variable. The factor used is debt policy, credit risk, capital adequacy ratio, life cycle, capital structure, Inflation, growth domestic product, unemployment and oil price. The data of this study are 14 banks in Indonesia from 2009-2018. The test method of data is using panel data regression. The results of this study, there are 4 variables that affect dividend policy, namely credit risk, capital structure, inflation and oil prices. while other variables do not have a significant effect on credit risk. the results of variable oil prices are different from previous studies because the subject of this study is banking. Where the increase in oil prices can have a positive impact on dividend policy in the mining industry, but have a negative impact on the banking industry.

Determinants of bank profitability: Empirical evidence from Republic of Indonesia state-owned banks

“…Company or bank size is also an important determinant of profitability. Silalahi et al (2021) reveal that banks with considerable assets have higher efficiency than those with small assets, thus making the first more profitable; Nugroho et al (2020) confirming that bank size positively affects profitability (Muda et al, 2023;Manurung et al, 2022).…”

“…(2019); Mohsin et al (2020);and Silalahi et al, (2021), showing that CAR has a significant positive effect on profitability. Thus, our findings supported the proposed hypothesis.…”

Analisis Pengaruh Perubahan Kinerja Keuangan dan Ukuran Perusahaan Terhadap Kebijakan Pembagian Dividen

“…Hal ini sesuai dengan hasil penelitian Rasyid, (2018) bahwa kualitas kredit (NPL) memiliki hubungan yang postif tetapi tidak signifikan terhadap kebijakan dividen. Namun berbanding terbalik dengan hasil penelitian Ahmad & Muqaddas, (2016), Silalahi et al, (2021), dan Budagaga, (2020) yang menunjukkan bahwa kualitas kredit berpengaruh negatif terhadap kebijakan dividen perusahaan.…”

Empirical Evidence from the Indonesian Stock Exchange: The Impact of Dividend Policy Decisions on Sharia Share Prices

“…Profit-sharing can take the form of dividends or the buyback of issued shares (Charith & Davydenko, 2021), therefore as result, one of the company's greatest strategic considerations is dividend policy decisions to show company performance (Khan et al, 2018;Rono & Omoro, 2020;. Dividend policy refers to a company's choice to distribute profits to shareholders in the form of dividends (Silalahi et al, 2021). Further explained by (Kim et al, 2020;Song et al, 2021), one of the most essential managerial decisions is dividend policy, which has been thoroughly researched in the financial literature.…”