Third-party Funds Research Articles

The Role of Inflation and The Performance of Rural Banks on Indonesia’s Economic Growth

The Role of Inflation and The Performance of Rural Banks on Indonesia’s Economic Growth

Development and establishment of a patient advisory board for forensic psychiatric patients - Insights and experiences from the PART project

IntroductionParticipatory research (PF) actively involves people with lived experience (pwle), e.g. for a disease, in research. This improves the relevance, quality and impact of research and can help to raise third-party funds, increase recruitment numbers, select research methods. Pwle can support all stages of the research process, including dissemination. While PF is already standard in other countries, Germany is still lagging behind. Our participatory advisory board aims to create a sustainable structure to involve underrepresented patients.ObjectivesIn the PART advisory board, pwle and researchers should actively cooperate in projects in the field of forensic psychiatry. In preparation to establish the advisory board procedures, key documents and training material were developed. In addition experiences, opinions, ideas and concerns of stakeholders and pwle in relation to PF were collected.MethodsGuided interviews were conducted with stakeholders (clinical, research) and focus groups with in-patient pwle from forensic psychiatry. They were asked how they imagine the structure, tasks and goals of a participatory advisory board, what opportunities and obstacles they see. Anticipated framework conditions and support needs for the successful implementation were also asked. The interviews and focus groups were audio-recorded and transcribed. Data was analysed with MAXQDA using thematic analysis.ResultsIn total, 8 expert interviews and 2 focus groups with 15 pwle were conducted in the first half of the year 2023. The analysis so far shows great interest in PF, although the term is mostly unknown and experience seems to be limited. The respondents identified opportunities for participatory research, but also challenges that need to be overcome in terms of its implementation. Both groups emphasise the importance of PF, especially in the field of mental illness, and express ideas for its implementation.ConclusionsThe results will be incorporated into the structure of the advisory board, so that PF in the field of forensic psychiatry will be more successful and the exchange between researchers and pwle will be facilitated. Detailed results as well as impressions from the first meeting(s) of the advisory board will be presented at the EPA conference.Disclosure of InterestNone Declared

Examining the Effect of Third-Party Funding and Non-Performing Loan on Syariah Banking Financing: Moderating Role of Profitability

Today, the expansion of the Sharia banking industry has shown sustained development over time, indicating satisfactory growth and enhancement, particularly in asset accumulation. Profitability moderates the relationship between third-party funds and non-performing financing on financing in Sharia banking (a case study of all Sharia commercial banks for 2018-2022). This study determines the influence of Third-Party Funds (DPK) and non-performing Financing (NPF) on financing with profitability as a moderating variable. This research uses a type of research, namely quantitative research using Moderated Regression Analysis (MRA). The samples used were 10 banks. The analytical tool used is multiple linear analysis using the EVIEWS application. Research results show that third-party funds have no effect on financing at Sharia Commercial Banks, non-performing financing has no effect on financing at Sharia Commercial Banks, and profitability cannot moderate third-party funds and non-performing financing on financing at Sharia Commercial Banks.

Komunikasi Pemasaran Offline to Digital (O2O) PT. Bank Aladin Syariah Tbk.

This study investigates PT Bank Aladin Syariah Tbk's marketing communication strategy transitioning from online to offline (O2O) channels, aiming to enhance customer engagement. Employing qualitative descriptive methodology, data were collected through non-participant observation, literature review, and archival analysis, utilizing purposive sampling for key informant selection. Data analysis involved reduction, presentation, and verification. Findings reveal Bank Aladin's active utilization of digital promotional mix via social media platforms and partnership collaborations with Alfamart convenience stores, employing a co-branding strategy to maintain hard-selling approaches for customer acquisition and third-party funds. Moreover, Bank Aladin launched a Shariah-compliant banking application with user-friendly and seamless features, garnering 3.2 million downloads and over 1.7 million registered users since December 2022. This study underscores the efficacy of integrating online platforms and strategic partnerships in enhancing customer outreach and service delivery within the Islamic banking sector.

Profitability as a Mediation for Problem Loans, Third-Party Funds, BI Rate on Company Value

This research from 2016 to 2022 intends to understand the relationship between the Islamic banking sector in Indonesia, company value, where profitability is the mediator between non-performing loans and third-party funds, and interest rates. This methodology uses purposive sampling to produce nine samples representing Islamic financial institutions. The criteria is an annual banking report, which can be obtained on the bank's official website or at the OJK. The quantitative descriptive methodology used in this research consists of the Sobel test and panel data regression analysis. Data analysis findings show that while profitability and the BI rate impact a company's value less, non-performing loans and third-party funding do. Profitability is unaffected by BI rates, non-performing loans, and third-party funding. Profitability does not mitigate the effect of third-party financing, non-performing loans, and the BI rate on a company's value.

The Influence of The Business Ecosystem and Customer Base On Increasing Third-Party Funds In The Region III Office

The purpose of this research to identify influence of the business ecosystem and customer base on increasing third-party funds in the region III office. Judging at the existing problem, the researcher applies a quantitative approach. The quantitative approach to business is research in the field of business with the aim of research through empirical assessment involving measurement and analysis of numbers. Quantitative research stands alone in the sense that it does not meet the needs of analytical interpretation. This research was conducted with the aim to see the influence of business ecosystem and customer base on Bank BTN's deposits. In addition, this study also aims to encourage an increase in deposits as well as to become the main target of Bank BTN. This study used multiple regression analysis method which was analyzed using the Eviews 10 application platform. As described in chapter IV, the conclusions of this study can be drawn as follows: Partially, the business ecosystem has a positive but significant effect on increasing Bank BTN's deposits. This means that when the business ecosystem rises, deposits will increase and vice versa. Meanwhile, the customer base has a positive and significant influence on the increase in deposits of Bank BTN. That is, when the customer base rises, DPK will also increase, and vice versa.
 Simultaneously, the business ecosystem and customer base together have a significant influence on Bank BTN's deposits.

The Effect of Corporate Social Responsibility as a Moderating Variable on Determinants of Banking Profitability in Indonesia

This study examined the effect of Corporate Social Responsibility (CSR) as a moderating variable on determinants of a bank’s profitability listed in the Indonesia Stock Exchange (IDX). This study used secondary data from banking annual reports listed in IDX during 2018-2021, with a total of 100 data from 25 banking companies that met the purposive sampling criteria. The data were analysed using moderated regression analysis with STATA software. This study found that simultaneously, Non-performing Loan (NPL), Good Corporate Governance (GCG), Third Party Funds (TPF), and Cost Efficiency have a significant impact on profitability. While individually, GCG has a significant negative effect, NPL has an insignificant negative effect, Third Party Funds has a significant positive effect, and Cost Efficiency has a significant negative effect on profitability. Furthermore, this study found that CSR has a positive moderating effect on the relationship between TPF and profitability, but CSR has a negative moderating effect on the relationship between Cost Efficiency and profitability. On the other hand, CSR was unable to moderate the relationship of NPL and GCG to profitability. This study contributes to the literature by suggesting the implementation of CSR not only as a compliance to regulation but also as a strategy to increase banking financial performance.

Sharia Bank Deposits and Financing: Does Economic Turbulence Matter?

The decline in national economic performance as a result of COVID-19 can cause a reduction in company and community income, which will reduce the availability of third-party funds and financing channeled by Sharia banks. This research aims to examine the determinants of third-party deposits and Sharia bank financing in Indonesia using a sample of ten Sharia banks from 2017-2022 that did not carry out mergers or acquisitions. Testing was also carried out on each type of deposit and financing contract because of the potential for different behavior between types of contracts. Data were analyzed using panel data techniques, where the selected model had a fixed effect. The test results prove that there is a positive reciprocal influence between third-party deposits and Sharia bank financing. Economic turbulence has a significant negative impact on deposits, but it is not significant on financing. This turbulence significantly only reduced profit-sharing deposits but not wadiah deposits. Likewise, this economic condition only has a negative impact on financing with receivables contracts but not on profit-sharing financing. This finding implies the importance of Sharia banks in maintaining adequate availability of third-party funds to support financing growth. The Government and Bank Indonesia are important to maintain economic stability. Furthermore, the Financial Services Authority needs to increase monitoring of banks with low capital because of the potential for moral hazard.

Banking Profitability Analysis: Company Cases on the Stock Exchange Indonesian Securities (BEI)

This study aims to investigate the impact of Loans to Deposit Ratio (LDR) on Return On Assets (ROA) in the context of banking institutions. LDR is used as an indicator of a bank's ability to meet obligations and credit demands, while ROA reflects the level of bank profitability. The signal theory is also adopted to explain the asymmetry of information between company management and other stakeholders. The data used in this study was obtained from banking institutions with sample consists of 25 banking companies listed on BEI during the 2016-2019 period. The results indicate that LDR has a significant impact on ROA. Higher LDR values indicate a larger amount of third-party funds channeled into credit, which in turn increases profitability through higher interest income. These findings are consistent with previous research indicating a positive relationship between LDR and ROA. The results of this study contribute to the understanding of factors influencing the financial performance of banking institutions. Banking practitioners and investors can use these findings as a basis for making better decisions in managing risks and enhancing profitability.

Exploring the Impact of Third-Party Funds and Interest Rates on Commercial Bank Lending: A Study of the Indonesia Stock Exchange from 2019 to 2021

This research aims to examine the exploration of the influence of third party funds and interest rates on commercial bank credit distribution on the Indonesian Stock Exchange 2019-2021. Using quantitative methods with quantitative descriptive types. The sample used was ten banks that had gone public or were listed on the Indonesia Stock Exchange (BEI). The data used in this research are 30 financial reports from the 2019-2021 period, with a purposive sampling technique, using an analytical method, namely the multiple linear regression method which was processed using SPSS v 26. Based on the research results, third party funds have a significant influence on credit distribution with a value of (sig < 0.05) and interest rates do not have a significant influence on credit distribution to commercial banks for the 2019-2021 period (sig > 0.05).

Market Share Factors of Sharia Banks in Indonesia and Malaysia

Market Share Factors of Sharia Banks in Indonesia and Malaysia

Efficiency of Indonesia's Regional Development Banks: Evidence from a Non-Parametric Data Envelopment Analysis Method

This study aims to determine the level of performance efficiency of Regional Development Banks in Indonesia. This study uses Data Envelopment Analysis with a non-parametric Banker-Charnes-Cooper model approach to investigate variable return to scale, variable projections, and panel data regression. Input variables include third-party funds, non-interest expenses, interest expenses, and employee costs, while output variables include loans, interest income, and operating income apart from interest with control variables namely net interest margin, operating costs to operating income, loan-to-deposit ratio, and capital adequacy ratio. The findings show that net interest margin, operational costs on operational income, loan-to-deposit ratio, and capital adequacy ratio have a positive and significant effect on the efficiency of Regional Development Banks in Indonesia. However, we found that on average Regional Development Banks in Indonesia were still not efficient in carrying out their operational activities, although some showed quite good performance in the IRS, CRS, and DRS situations during the observation period which had implications for the performance of Regional Development Banks which was not yet optimal.

A Systematic Literature Review: Determinant of Company Value in Financial Companies

This research employs the PRISMA methodology to investigate the determinants of company value within financial institutions, guided by specific inclusion criteria. These criteria involve the selection of peer-reviewed English literature focusing on variables affecting company value in financial institutions, utilizing quantitative or mixed research methods. The study conducts an extensive search within the Elsevier (SCOPUS) database, housing a substantial collection of articles related to company values, ultimately narrowing down the selection to 22 articles for in-depth analysis. The results unveil seven pivotal indicators significantly influencing financial company value: Corporate Governance, Dividend Policy, Company Size, Third-Party Funds, Financial Performance, Capital Structure, and Corporate Social Responsibility. These determinants collectively mold investor perceptions and market assessments, with particular emphasis on the crucial roles played by corporate governance and financial performance. In conclusion, this study underlines that these determinants collectively shape a financial company’s value, with Corporate Social Responsibility standing out as a notable factor capable of enhancing market assessments and reducing mispricing. These findings provide valuable insights for investors, financial professionals, and policymakers, facilitating a deeper understanding of the dynamics of financial company valuation within an ever-evolving landscape.

The Efficiency of Islamic Banks in the Middle East and Southeast Asia: Stochastic Frontier Approach

<p>This research aims to compare and analyze the efficiency of Islamic banking in Southeast Asia and the Middle East by examining particular inputs such as third-party funds, operational expenses, labor costs, and return on assets, focusing on financing as the output. This quantitative study uses a purposive sampling technique to sample 30 sharia banks from Southeast Asia and 30 sharia banks from the Middle East from 2015 to 2022. The data used is secondary data from BankFocus and the annual financial reports of each bank. Data was processed using the Frontier 4.1 application with the Stochastic Frontier Analysis method. The results of this research show that the efficiency of sharia banking in the Middle East is higher than sharia banking in Southeast Asia. On the other hand, the return on assets has no impact on financing, but the input of third-party funds, operational expenses, and labor costs all have an impact. These findings show the importance of efficiently supervising the management of third-party funds and costs incurred by banks in order to improve banking performance. Hence, this will ultimately lead to an increase in the efficiency of sharia banking and a growth of banking profits.</p>

Determinan Penyaluran Kredit pada Bank Perkreditan Rakyat di Sulawesi Utara

The role of banking as an intermediation institution is very important in supporting the running of the economy and national development, considering its function as an organizer of payment transactions, an intermediary between debtors and creditors, and so on. The main focus and activity of banking in carrying out its intermediation function is credit distribution. This research is motivated by the existence of a gap phenomenon where the credit distributed by Rural Banks in North Sulawesi is not yet optimal. Thus, it is necessary to examine the factors that influence credit distribution, some of which are Third Party Fund (TPF) and Non-Performing Loan (NPL). The aim of this research is to find out the influence of Third Party Fund and Non-Performing Loan on credit distribution at Rural Banks in North Sulawesi. The analysis technique used in this research is multiple linear regression with the Ordinary Least Square (OLS) method. The results show that Third Party Fund and Non-Performing Loan have a positive and significant effect on credit distribution. Based on the results, it is hoped that Rural Banks can further increase Third Party Fund and minimize the occurrence of Non-Performing Loan in order to increase credit distribution at Rural Banks in North Sulawesi.

BANK CREDIT GROWTH IN INDONESIA DURING THE COVID-19 PANDEMIC AND ITS REGULATIONS

Credit growth related to production, consumption, investment, exports, and imports is considered crucial for economic growth. The Covid-19 pandemic has had a major impact on the economies of countries in the world, as seen from a significant decline in credit growth. This study examines the effects of Economic Growth, Exchange Rate, Inflation, BI Rate, Third Party Funds (TPF), and Non-Performing Loans (NPL) on Banking Credit Growth in Indonesia during the COVID-19 Pandemic Period and regulations issued during that period. Analysis using multiple linear regression method using EViews 10 software with data type in the form of time series. The results of this study showed that only TPF growth had a significant effect. Simultaneously, the variables of Economic Growth, Exchange Rate, Inflation, BI Rate, NPL and Deposit Growth have a significant effect. The most dominantinfluencing variable is deposit growth.

Research organisation and research strategies at Universities of Applied Sciences (UAS) in the tension triangle between politics, researchers, and internal decision makers: a case study example of the IMC Krems in Austria

This study examines the circumstances and unique features of research activity at Austrian Universities of Applied Sciences (UAS), highlighting the various demands and interests of various stakeholders. Utilizing a case study approach based on an extensive literature review, data was gathered regarding the preferences and expectations of various UAS stakeholders, both present and future, in order to identify any gaps or conflicting needs that need to be taken into account in an all-encompassing research strategy. Guideline-based interviews with experts, the management board and researchers at the IMC Krems were conducted. The findings demonstrate how competitive and dynamic the UAS sector is, with a focus on applied research and teaching activities. UAS are characterised by a relatively broad range of research topics with moderate relative specialisation, application orientation and close collaboration with local stakeholders. The majority of research funding at UAS comes from third-party funds or commissioned research, because the institution lacks basic research financing. Main opportunities for UAS are seen in dissertation rights for this sector and basic funding from the federal government to have more open-topic research. The findings of this study should encourage UAS to critically evaluate their research organisation and align it with their core mission: teaching and applied research.

How do macroeconomic variables and financial inclusion affect financial stability in Indonesia?

Financial stability is a crucial indicator of the financial sector's health, reflecting the system's resilience or vulnerability to crises. This study investigates the impact of macroeconomic variables and financial inclusion on financial stability in Indonesia, utilizing quarterly data from the first quarter of 2012 to the fourth quarter of 2021. Employing the Vector Error Correction Model (VECM), the research examines the influences of these factors in both the short and long term. The findings reveal that macroeconomic variables and financial inclusion significantly affect financial stability in Indonesia across both time frames. Specifically, inflation emerges as a critical factor influencing financial stability in the long term, while interest rates play a pivotal role in the short term. Moreover, financial inclusion, represented by the public's use of banking products and third-party funds relative to Gross Domestic Product (GDP), impacts financial stability both in the long and short term. Conversely, financial inclusion, measured by credit to GDP, exhibits only short-term effects on financial stability. The results underscore the importance of careful consideration by the central bank when formulating monetary policy, particularly regarding interest rate adjustments, due to their immediate impact on financial system stability. Over the long term, maintaining control over inflation rates is imperative to safeguard financial stability. Furthermore, financial institutions, in their role of fostering financial inclusion by distributing credit, must balance the quality of credit with its quantity to avoid negative impacts on the financial system's stability. This study contributes valuable insights for policymakers and financial institutions aiming to bolster Indonesia's financial stability through prudent macroeconomic management and the strategic implementation of financial inclusion initiatives.

Financing to deposit ratio, dana pihak ketiga, modal sendiri, dan tingkat bagi hasil terhadap profitabilitas Bank Umum Syariah di Indonesia: Peran jumlah pembiayaan sebagai variabel moderasi

This study aims to analyze the effect of Financing to Deposit Ratio (FDR), Third Party Funds (TPF), Equity, and Profit-Sharing Rate on profitability (ROA) with the amount of financing as a moderating variable at Islamic Commercial Bank in Indonesia for the period 2017-2021. The data used are secondary panel data from the annual reports of banks registered with the OJK, with data analysis using moderated regression analysis (MRA) and samples taken by purposive sampling. The study results indicate that FDR and TPF have a negative but insignificant effect on ROA, equity is not significant, and the profit-sharing rate has a significant positive effect on ROA. The amount of financing cannot moderate the relationship between FDR, TPF, and equity on ROA; instead, it negatively affects the relationship between the profit-sharing rate and ROA.

PENGARUH DPK, PEMBIAYAAN MUDHARABAH, NPF TERHADAP ROA BANK UMUM SYARIAH DI INDONESIA

In Islamic banks, one of the indicators commonly used to assess the bank's health is its own financial report. Information obtained from financial reports can be used to calculate various financial ratios, often serving as the basis for evaluating a bank's health. Several factors affect profitability in Islamic banks, sourced from the different profitability indicators generated by various performance metrics. This is because third-party funds (DPK) and Mudharabah financing, when increasing, contribute to the increase in the Return on Assets (ROA). This is due to the fact that an increase in customer deposits gathered by Islamic banks will enhance the efforts of the Islamic bank in generating profitability. On the other hand, if non-performing financing (NPF) increases, the ROA will decrease. This is because the non-acceptance of disbursed funds contributes to the decline in ROA. The research aims to investigate the partial and simultaneous effects of DPK, Mudharabah financing, and NPF on ROA. The research methodology employed is quantitative with a causal approach. Using purposive sampling technique, five Islamic commercial banks were selected as the research sample for the period 2017 to 2022. The analysis utilized panel data regression analysis through Eviews12. The results indicate that DPK and Mudharabah financing, individually, do not have a significant partial impact on the ROA of Islamic commercial banks. However, NPF has a significant partial effect on the ROA of Islamic commercial banks. Furthermore, when considered collectively, DPK, Mudharabah financing, and NPF have a significant simultaneous impact on the ROA of Islamic commercial banks.