Financial Distress Pada Sektor Bank Campuran Di Indonesia Dengan Rasio Camel Sebagai Alat Ukur. Periode Studi 2014 – 2019.

Abstract

This study aims to analyze the effect of the CAMEL ratio as measured using the ratio of CAR, NPL, ROA, ROE, LDR and BOPO to financial distress in the mixed bank sector in Indonesia for the period 2014-2019. Data were analyzed using multiple regression and hypothesis testing F test for simultaneous effect and T test for partial effect. The results of this study indicate that the ratio of CAR, NPL, ROA, ROE and LDR partially has no significant effect on Financial Distress, while BOPO has a significant effect on Financial Distress. However, simultaneously the six ratios have an effect on the Financial Distress of Indonesian banks.

The Effect of Financial Performance on Financial Distress

“…The previous statement is supported by research by Buchdadi et al (2020) and Pratiwi et al (2022) which states that CAR has a negative effect on financial distress. However, research by Ermar & Suhono (2021) and Pramesti (2022) states that CAR has no effect on financial distress. H1: Capital adequacy has a negative effect on financial distress.…”