PT. BANK SULUTGO AS A REGIONAL DEVELOPMENT BANK AND THE INFRASTRUCTURE LOAN: A SIMULATION ANALYSIS

Abstract

Abstract: Infrastructure development is government’s main program in Nawacita. From economic perspective, financial institutions like banks can take an opportunity to fund the infrastructure development. Government encourages banks to increase 60 percent of productive loans and 40 percent for consumptive loans. SulutGo bank as a regional development bank can also take the same opportunity. This study aims to analyze financial ratios when infrastructure loan takes place in SulutGo bank. This study relies on simulation analyses. This study uses data from financial statements of SulutGo bank year 2011-2016. There are two scenarios of simulation used in this study, namely capital-taking and credit-switching. Financial ratios to be analyzed are ROA, LAR, DAR, NPL Net, ROE, LDR, NIM, OEOI, and CAR. One sample T-Test is needed to test the significant changes before and after simulation of both scenarios. The results show that after simulation ROA increases while ROE, NPL and OEOI decrease. The intervention of infrastructure loan affects LAR, DAR, LDR, ROE and OEOI. There is no statistical difference among ROA, NPL, NIM, and CAR between pre and post simulation. Through this infrastructure loan, bank can expand its business area, generate new source of income by getting fee based income based on corporate collateral.

Keywords: infrastructure loan, simulation, financial ratios.