Quantitative analysis reveals that non-performing finance negatively affects financial stability in sharia banks, suggesting areas for improvement.
This study examines the effect of bank-specific factors on the financial stability of Sharia Commercial Banks in Indonesia from 2013 to 2023. Using a quantitative approach and panel data regression analysis on secondary data from 15 Islamic banks listed on the IDX, the study finds that Non-Performing Finance (NPF) has a significant negative effect, Bank Size has a significant positive effect, and Bank Age has a positive but insignificant effect on financial stability. Collectively, NPF, Bank Size, and Bank Age significantly influence financial stability.
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Kusnaedy et al. (2025) studied this question.