Determinants of Capital Structure of Sharia Banks In Indonesia
Dodi (a*), Meta Arief (b)

a) Business Management, Indonesia University of Education
Jalan Dr Setiabudi 229, Bandung 40154, Indonesia
*dodi26[at]student.upi.edu
b) Business Management, Indonesia University of Education
Jalan Dr Setiabudi 229, Bandung 40154, Indonesia

Abstract

This study aims to analyze the factors that influence the capital structure sharia banking in Indonesia during the period 2011-2017. The research method used in this study is the explanatory method. We use secondary data obtained from the Indonesian Central Bank and Sharia Bank annual reports and then analyze the data using multiple linear regressions. The results showed that company size, earning volatility have a positive effect on capital structure while Profitability, tangibility and growth opportunity has a negative effect on capital structure.

Keywords: Capital Structure; Earning Volatility; Growth Opportunity; Profitability; Size; Sharia Banking; Tangibility

Topic: Financial Management and Accounting