Proceedings of the 3rd Progress in Social Science, Humanities and Education Research Symposium (PSSHERS 2021)

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Analysis of Implementation of PSAK 71 at the Regional Development Bank

Authors
Rahayu Rahayu1, *, Reni Yustien1, Salman Jumaili1, Sri Rahayu1, Musthafa Luthfi2
1Accounting Department, Jambi University, Jambi, Indonesia
2Department of Management, STIE Jambi, Jambi, Indonesia
*Corresponding author. Email: rahayu-fe@unja.ac.id
Corresponding Author
Rahayu Rahayu
Available Online 22 December 2022.
DOI
10.2991/978-2-494069-33-6_45How to use a DOI?
Keywords
PSAK 71; CKPN; OJK; Financial Stimulus
Abstract

The goal of this study was to examine how Regional Development Banks used Statement of Financial Accounting Standards (PSAK) 71. (BPD). PSAK 71 will be adopted by Indonesian financial institutions no later than 2020. With the introduction of this PSAK, banks, including BPD, must take efforts to anticipate the PSAK’s impact. This study employs a quantitative descriptive analysis based on bank financial statements. The financial report data of all BPDs from as many as 27 (twenty-seven) banks will be used in this research. According to the data analysis results, practically all BPDs had a rise in the value of Allowance for Impairment Losses (CKPN). The passage of PSAK 71, which measures CKPN after credit is issued, is one of the causes of the high CKPN. The researcher discovered a shift in the trend of increasing CKPN when reviewing this data, which was caused not only by the use of PSAK 71, but also by the Covid-19 outbreak. Many businesses have witnessed a decline in revenue, which affects their ability to repay bank loans, forcing them to become bad loans for banks and boosting bank CKPN. In anticipation of the Corona Virus’s impact, OJK released the OJK Economic Stimulus in the Financial Services Sector, which has an influence on this study. OJK adopted this financial stimulus program to allow those in the public and financial services sectors who had been directly or indirectly affected by the coronavirus (covid-19) as of March 20, 2020 to breathe easier.

Copyright
© 2023 The Author(s)
Open Access
Open Access This chapter is licensed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/), which permits any noncommercial use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if changes were made.

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Volume Title
Proceedings of the 3rd Progress in Social Science, Humanities and Education Research Symposium (PSSHERS 2021)
Series
Advances in Social Science, Education and Humanities Research
Publication Date
22 December 2022
ISBN
10.2991/978-2-494069-33-6_45
ISSN
2352-5398
DOI
10.2991/978-2-494069-33-6_45How to use a DOI?
Copyright
© 2023 The Author(s)
Open Access
Open Access This chapter is licensed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/), which permits any noncommercial use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if changes were made.

Cite this article

risenwbib
TY  - CONF
AU  - Rahayu Rahayu
AU  - Reni Yustien
AU  - Salman Jumaili
AU  - Sri Rahayu
AU  - Musthafa Luthfi
PY  - 2022
DA  - 2022/12/22
TI  - Analysis of Implementation of PSAK 71 at the Regional Development Bank
BT  - Proceedings of the 3rd Progress in Social Science, Humanities and Education Research Symposium (PSSHERS 2021)
PB  - Atlantis Press
SP  - 398
EP  - 411
SN  - 2352-5398
UR  - https://doi.org/10.2991/978-2-494069-33-6_45
DO  - 10.2991/978-2-494069-33-6_45
ID  - Rahayu2022
ER  -