International Journal of Humanities and Social Science Research

Authors
U Priyadi, A Widarjono, MABM Sharif, MA Imron

Abstract
The Islamic Rural Bank (IRB) in improving its performance also faces banking risks, both internal and external risks. These risks have a direct and indirect impact on their performance that reflected by ROA (Return on Assets). The internal risks of IRB are reflected by the variable Non Performing Financing (NPF) and Capital Adequacy Ratio (CAR). While its external risks reflected by Inflation risk (Inf) and Economic Growth (EG). This study also use the variables Total Asset (Size) to seeIRB’s resistance behavior faces the banking risks. It’s all also to see how the resilence of IRB to absorbs shocks, and continues or recovers. This study used Panel data, 420 data from 21 sample of Indonesian IRBs with 1 dependent variable and 5 independent variables that has mentioned. The data is taken quarterly for the period March 2013 - December 2017, and estimated by Random Effect Model (REM) as a best model.