#TITLE_ALTERNATIVE#

• Main Author: OCTA FEBRINA (19009115), FANNY
• Format: Final Project
• Language: Indonesia
• Online Access: https://digilib.itb.ac.id/gdl/view/14163
• Institution: Institut Teknologi Bandung

Global crisis that occur as the effect of U.S subprime mortgage default has affected global <br /> <br /> <br /> <br /> <br /> <br /> financial system. A significant impact of the crisis also felt in banking industry. Many banks do <br /> <br /> <br /> <br /> <br /> <br /> not concern on liquidity risk before this crisis. In fact, a little attention in liquidity made a <br /> <br /> <br /> <br /> <br /> <br /> problem, liquidity has become a major risk faced by banks during the crisis. In Indonesia, many <br /> <br /> <br /> <br /> <br /> <br /> of bank faced liquidity risk at that time. To overcome that problem, central bank of Indonesia <br /> <br /> <br /> <br /> <br /> <br /> also made some regulation according to liquidity problem by released liquidity policy. Besides <br /> <br /> <br /> <br /> <br /> <br /> that, Bank of International Settlement (BIS) also issued Basel III, which presents regulatory <br /> <br /> <br /> <br /> <br /> <br /> standards on liquidity and capital adequacy to monitor and strengthen liquidity risk mitigation. <br /> <br /> <br /> <br /> <br /> <br /> The purpose of this study is to determine the factors that influence liquidity risk. The dependent <br /> <br /> <br /> <br /> <br /> <br /> variable is the Liquidity Coverage Ratio (LCR), which is used as a ratio to measure liquidity <br /> <br /> <br /> <br /> <br /> <br /> risk and the independent variable is the growth of assets and liabilities item consist of demand <br /> <br /> <br /> <br /> <br /> <br /> deposits, savings deposits, time deposits, cash, loan, reserves, securities, and capital. Monthly <br /> <br /> <br /> <br /> <br /> <br /> financial reports obtained from Bank Indonesia, is used to analyze the problem with a sample of <br /> <br /> <br /> <br /> <br /> <br /> Private Foreign Exchange Bank (BUSN) operating in Indonesia as many as 26 banks. Multiple <br /> <br /> <br /> <br /> <br /> <br /> linear regression panel data was used to test the hypothesis in this study.