THE INFLUENCE OF BANK-SPECIFIC AND MACROECONOMIC FACTORS ON BANK CREDIT RISK IN PASURUAN

Abstract

This study examines the effect of Interest rates and credit risk on income at PT Bank Danamon ”ndon’sia Tbk. The objective of this research is to analyze the rela’Ionship between interest rates and credit risk and their impact on com’any income, using Interest rates and credit risk as independent variables and income as the dependent variable.

The sample used In this research consists of the fi”anci’l statements of PT Bank Danamon Indonesia Tbk covering the period from 2009 to 2016. The research applies a quantitative approach using multiple linear regression analysis as the data analysis technique.

The simultaneous test results Indicate that interest rates and cr”dit risk jointly have a positive and significant Influence on the company’s income. Furthermore, partial test results reveal that interest rates have a significant negative effect on income, while credit risk has a significant positive effect on income at PT Bank Danamon Indonesia Tbk.