The Impact of Bank Characteristics and Macroeconomic Conditions on The Growth of Bank Deposits in Indonesia, Period 2013-2018

International Journal of Economics and Management Studies

© 2020 by SSRG - IJEMS Journal

Volume 7 Issue 5

Year of Publication : 2020

Authors : Achnesia Fran’s, Chandra Wijaya

10.14445/23939125/IJEMS-V7I5P108

How to Cite?

Achnesia Fran’s, Chandra Wijaya, "The Impact of Bank Characteristics and Macroeconomic Conditions on The Growth of Bank Deposits in Indonesia, Period 2013-2018," SSRG International Journal of Economics and Management Studies, vol. 7,  no. 5, pp. 46-56, 2020. Crossref, https://doi.org/10.14445/23939125/IJEMS-V7I5P108

Abstract:

This research aims to analyze the effect of Bank Characteristics and Macroeconomic Conditions on the Growth of Banking Deposits in the 2013-2018 Period. This research uses panel data on 116 commercial banks in Indonesia. The variables of this research are capital adequacy ratio, return on assets, cost of funds, total bank assets, gross domestic product, inflation, and interest with monthly data during 2013-2018. Data processing uses EViews (Econometric Views) version 7. The results of this research indicate that in the entire research sample, the capital adequacy ratio has a negative effect on the growth of deposits, return on assets has a positive effect on the growth of deposits, total bank assets negatively affect the growth of deposits, the gross domestic ratio has a negative effect on the growth of bank deposits, inflation has a positive effect on the growth of bank deposits, interest negatively affects the growth of deposits and while the cost of funds does not affect the growth of deposits.

Keywords:

Capital ratio, return on assets, cost of funds, total bank assets, gross domestic product, inflation, interest, growth deposit.

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