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International Journal of Academic Research in Economics and Management Sciences

Open Access Journal

ISSN: 2226-3624

Testing the Green Banking Model: The Effect of Performance to the Bank Index Securities Price of Srikehati

Fanny Septina

http://dx.doi.org/10.6007/IJAREMS/v6-i4/3777

Open access

The study aims to understand the efficiency of green banking that may affect the SRIKEHATI bank index’s performance. The population group is gathered from Indonesian banking companies, with a sample of SRIKEHATI bank index to the 2016 period. The dependent variable used in this study is the securities’ price since 2010 to 2015. The independent variable describes the ratio of the bank’s performance and measured by the RGEC (Risk profile, Good corporate governance, Earnings, Capital) method, being proxy by the GCG self-assessment, NPL, LDR, ROE, NIM, and CAR between 2010-2015 periods. The data analysis is based on multiple regression with time series data. The result shows that NPL shows a significant effect to SRIKEHATI banking index securities price.

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