Sekolah Pascasarjana Universitas Pendidikan Indonesia, Bandung, Indonesia Abstract
The purpose of the study is to analyze the explanatory factors that affect the efficiency of commercial banks in Indonesia. Banking efficiency is very interesting because banks have a strategic role in financing the economy. However, the objective conditions of banking efficiency are still low. It is shown that the BOPO and NIM indicators tend to rise. The research using full sampling, which covers the Commercial Bank in 2009-2013, used financial statements data published by Bank of BI—GDP data from the BPS. The analysis used two-stage procedures. First, it measured the efficiency of commercial banks using DEA.
Second, it used Tobit regression models to examine the explanatory factors of bank efficiency. The input variables consist of DPK, Fixed Assets, and Labor. The output variables consist of Productive Assets, Interest Income, and feebased income. The efficiency explanatory factors used Loan to Deposit Ratio (LDR), Non Performing Loan (NPL), net interest margin (NIM) and Gross Domestic Pruduct (GDP). The results of research show the level of banking efficiency is still low. However, commercial banks have the potential to increase their outputs. The findings of empirical testing explanatory factors to the efficiency of Commercial Bank, for variable LDR, NIM and GDP significantly affect the efficiency of commercial banks, but NPL did not significantly affect the bank efeciency. For the implications in the management practice, it suggested that the level of efficiency can be improved by optimizing the implementation of financial intermediation both by optimizing the selective credit expansion and by creating a level of GDP which is conducive to business bank by monetary authorities. Therefore, the banking has high competitiveness in ASEAN regional.
Keywords: Efficiency of Commercial Banks, Explanatory Factors, Data Envelopment Analysis (DEA), and Tobit regression models
AICEDC Page 46 Paper No. ICOSEC-3-06252
Indonesia’s Opportunity to Develop Maritime Potency:
Utilizing Chairmanship in IORA 2015
Septyanto Galan Prakoso1 and Aditya Very Cleverina2
1 Department of International Relations, Faculty of Social and Political Sciences, Universitas Sebelas Maret, Surakarta, Indonesia
[email protected], [email protected]
Abstract
A promising momentum arrives in 2015 where Indonesia is set to chair IORA (Indian Ocean Rim Association), an organization which united nations with direct access to Indian Ocean.
This opportunity obviously aligns with a new focus of Indonesia to become a global maritime fulcrum, declared by Joko Widodo as the new President. Therefore, Indonesia must optimize its maritime potency and excavate its economy potentials. As a matter of fact, some progressive development agenda to reconstruct the country’s maritime identity and excavate its economy potentials have been done recently. Considering IORA's status as the only regional forum which has the capability to manage Indian Ocean area, Indonesia as the biggest archipelago country should never missed a chance on leading IORA in order to build a strong partnership and cooperation between its members, and also to use the advantages for the good. By actuating this condition, Indonesia has a chance to get two advantages: in the domestic level, a significant progress in maritime sector of economic development can be achieved; while in the international level, this condition can be taken as a shortcut to propose the idea of Indonesia’s vision to international community in order to boost Indonesia's bargaining position in the international maritime issues. This paper will use qualitative descriptive method to analyze Indonesia's opportunity to become a global maritime fulcrum by developing its maritime potency, the efforts which have and have not yet done to achieve it, IORA's importance, and the utilization of IORA's chairmanship to achieve Indonesia's objectives.
Keywords: Development, Maritime Potency, Indian Ocean Rim Association, Chairmanship, Indonesia
AICEDC Page 47 Paper No. ICOSEC-3-062523
Impact of Foreign Debt and Per Capita Income on Corruption:
Case Study in Asia
Agustinus Suryantoro1, A.M. Soesilo2, and Supriyono3
123Faculty of Economics and Business, Universitas Sebelas Maret, Surakarta, Indonesia [email protected], [email protected]
Abstract
At the international Confference in Brussel on March, 14th, 2007, President Director of World Bank, Paul Wolfowitz said that the biggest obstacle of development in developing countries is high rate of corruption (Gjelten,2012). By corruption, government couldn’t work optimally. The aims of this research were to analyze impact of foreign debt and per capita income on the rate of corruption in Asia countries. From this research, government could make policy to reduce corruption so development in developing countries optimally done.
Model of analysis of this research is regression analysis. This model could estimate parameter exactly (unbiased parameter) (Gujarati, 2010). Policy made on this research can be responsibly. The results of this research are shown that corruption influenced per capita income and not on foreign debt. Even foreign debt statistically insignificant on corruption, but there was tending that higher debt of the country higher of corruption. To reduced corruption, government can make policy to improve welfare and use foreign debt effectively and efficiently.
Keyword: Corruption, Foreign Debt, Per Capita Income, Welfare.
AICEDC Page 48 Paper No. ICOSEC-3-062526
Spatial Analysis of Disparities in Banyumas Regency Based on Socio-Economic and Infrastructure Indicators
Kikin Windhani1, Fajar Hardoyono2, Sudjarwanto1, and Hary Pudjianto1
1Department of Economics Development, Faculty of Economics and Business, Jenderal Soedirman University, Purwokerto, Indonesia
2Department of Madrasah Education, Faculty of Tarbiya and Teaching Science, State Institute on Islamic Studies-IAIN Purwokerto
Abstract
Since 1968, socio-economic and infrastructure development focused on the accessible region such as urban and suburban area. Rural, rim-land, coastal area, highland and isolated area were still ignored in national development priorities by the central and local government.
This paper discusses the spatial analysis of disparities in Banyumas Regency, Central Java, based on indicators of socio-economic and infrastructure. We have collected data by doing a survey in 27 sub-districts in Banyumas Regency. Disparities in socio-economic development and infrastructure were measured using 14 variables, i.e. unemployment rate, consumer price index, wage index, poverty index, quality of life, quality of health, quality of education, criminal rate, quality of roadway, public transportation accessibility, quantity of traditional market, quantity of bridge, and the quantity of public school building. Multivariate statistical analyses based on principal component analysis (PCA) and hierarchical cluster analyses (HCA) were used to analyze the disparities. The analysis on 14 socio-economic parameter shows that unemployment rate, poverty index, quality of health, and quality of education are the main contributor for socio-economic and infrastructure disparity. Ajibarang, Gumelar, Cilongok and Rawalo had still a classic problem in economic development due to being the pockets of unemployment and poverty in Banyumas Regency. Based on social indicators, 6 sub-districts including Gumelar, Karanglewas, Lumbir, Pekuncen, Somagede, and Tambak should be more attention by local government due to a high percentage of poor people to access medical and health facilities. In addition, the ratio of people who are able to access higher education in Jatilawang, Purwojati and Wangon was still less than 10%. There were no significance disparities in infrastructure indicator because the infrastructure has been developed equally in all sub-districts in Banyumas Regency.
Keywords: spatial disparities, socio-economic development, infrastructure, multivariate analyses
AICEDC Page 49 Paper No. ICOSEC-3-062534