PENGARUH MEKANISME CORPORATE GOVERNANCE TERHADAP KINERJA KEUANGAN BPR JAWA TENGAH

Abstract

This study aimed to examine the effect of corporate governance mechanisms on the financial performance of BPR in Central Java. Financial performance calculated by using four ratios NPL, CAR, LDR, and ROA. Corporate governance mechanism is determined by variable commissioners, board of directors, and the size of the company. The sample in this study is the BPR in Central Java are registered at Bank Indonesia in the period 2012-2013. The samples used a total of 119 BPR were taken using purposive sampling. The method of analysis in this study using multiple regression and SPSS 16 program. The results of this study indicate that the board of directors and a significant negative effect on the performance of BPR as measured by NPL, CAR ,and ROA, but no significant effect on the LDR. The size of the board of directors significantly to the ROA, however no significant effect on the NPL, CAR, and LDR. Firm size significantly and negatively trending on NPL and CAR, but no significant effect on ROA and LDR.