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The COVID-19 Pandemic Impact on Banking Sector

Author

Listed:
  • Darjana Darjana
  • S.K. Wiryono
  • D.P. Koesrindartoto

    (School of Business and Management, Bandung Institute of Technology, Indonesia)

Abstract

This paper aims to investigate the COVID-19 pandemic’s impact on the banking sector in Indonesia between 2011 and 2020. The study reveals that a credit crunch has transpired during the pandemic period. The result reveals that credit delivery decreased more during the pandemic than during the non-pandemic period. We demonstrate this effect in our examination of the pandemic’s impact on credit performance. We propose business matching to overcome this dilemma.

Suggested Citation

  • Darjana Darjana & S.K. Wiryono & D.P. Koesrindartoto, 2023. "The COVID-19 Pandemic Impact on Banking Sector," Asian Economics Letters, Asia-Pacific Applied Economics Association, vol. 3(3), pages 1-6.
    • Handle: RePEc:ayb:jrnael:55
    DOI: 2023/03/09
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    References listed on IDEAS

    as
    1. Judy L. Baker, 2000. "Evaluating the Impact of Development Projects on Poverty : A Handbook for Practitioners," World Bank Publications - Books, The World Bank Group, number 13949, December.
    2. Marianne Bertrand & Esther Duflo & Sendhil Mullainathan, 2004. "How Much Should We Trust Differences-In-Differences Estimates?," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 119(1), pages 249-275.
    3. Ben S. Bernanke & Cara S. Lown, 1991. "The Credit Crunch," Brookings Papers on Economic Activity, Economic Studies Program, The Brookings Institution, vol. 22(2), pages 205-248.
    Full references (including those not matched with items on IDEAS)

    Citations

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    Cited by:

    1. OlaOluwa Yaya & Rafiu Akano & Oluwasegun Adekoya, 2023. "Market Efficiency and Volatility Persistence of Green Investments Before and During the COVID-19 Pandemic," Asian Economics Letters, Asia-Pacific Applied Economics Association, vol. 4(1), pages 1-6.
    2. Darjana Darjana & Sudarso Kadero Wiryono & Deddy Priatmodjo Koesrindartoto, 2022. "Does Credit Performance Change In The Post- Covid-19? Evidence From Java Island, Indonesia," Bulletin of Monetary Economics and Banking, Bank Indonesia, vol. 25(2), pages 257-272, August.

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    More about this item

    Keywords

    credit crunch; business matching; banking sector;
    All these keywords.

    JEL classification:

    • G24 - Financial Economics - - Financial Institutions and Services - - - Investment Banking; Venture Capital; Brokerage
    • I10 - Health, Education, and Welfare - - Health - - - General
    • E51 - Macroeconomics and Monetary Economics - - Monetary Policy, Central Banking, and the Supply of Money and Credit - - - Money Supply; Credit; Money Multipliers

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