EFFECT OF INFLATION, ECONOMIC GROWTH, BI RATE, THIRD PARTY FUNDS (DPK), NON PERFORMING LOAN (NPL) AND CAPITAL ADEQUACY RATIO (CAR) ON DISTRIBUTION OF CREDIT BANK (Case Study at 20 Conventional Banks Listed on the Stock Exchange)

Abstract

Bank is the financial institution functioning to serve the communityboth
savings and loans. Bank loans granted to debtors in this case to the public was vey
help improve people’s life and help national economy to be more develop country.
This research is aims to analyze how influence Inflation, Economic growth, BI
Rate, third party fund (DPK), Non Performing Loan (NPL) and Capital Adequacy
Ratio (CAR) to lending. Sample of this research to twenty conventional banks (20
bank) registred in Indonesia,s stock exchange (BEI). The research period of year
2011 – 2015. This analysis metode used panel data regression.
Empiris result of this research indicated that third party fund have a positive
effect and siginificant to bank lending. The Economic growth and Capital Adequacy
Ratio have a negative effect and significant. While Inflation, BI Rate and Non
Performing Loan indicated negative effect and not significant to bank lending.
Empiris result of this research indicate that third party fund have the most dominant
influenceamong other variables in lending. However, bank should be optimized to
collect funds from public to support lending.
Keyword : Inflation, Economic Growth, BI Rate, Non Performing Loan, Capital
Adequacy Ratio, Panel Data Regression.