Analysis of Non-Performing Loans and Credit Interest Rates on Capital Adequacy Ratio with Profitability as an Intervening Variable (BPR Case Study in South Sulawesi)
DOI:
https://doi.org/10.34207/Keywords:
non-performing loans, credit interest rates, profitability, return on assets, capital adequacy ratio.Abstract
The aim of this research is to analyze the influence of non-performing loans and credit interest rates on profitability, the influence of non-performing loans, interest rates and profitability on the capital adequacy ratio, as well as analyzing the influence of non-performing loans and credit interest rates on the capital adequacy ratio. mediated by profitability at BPR in South Sulawesi. This research is a quantitative research using a time series, taking the population, namely BPR companies in South Sulawesi with a sample of 80 observation periods. Data collection techniques use library studies and documentation, while data analysis techniques use path analysis. The research results found that non-performing loans had a negative and significant influence on ROA, credit interest rates had a positive and significant influence on ROA. Non-performing loans have a negative and significant influence on CAR, credit interest rates have a positive and significant influence on CAR, ROA has a positive and significant influence on CAR.
The results of the Sobel test found that ROA can mediate the influence of credit interest rates on CAR. Then the results of the mediation test regarding the effect of credit interest rates on CAR mediated by ROA, found that ROA could not mediate the effect of credit interest rates on CAR at BPRs in South Sulawesi.
