The Model Of Digital Banking In Islamic Commercial Banks : A Financial Engineering Perspective

Abstract

This study aims to examine whether there is an influence of enterprise risk management, financing to deposit ratio, and Operational Expenses Operating Income directly or indirectly on return on assets with Digital Banking as Mediation. The research method used is explanatory with a sample size of 13 companies during the period 2009-2018, namely Sharia Commercial Banks registered with the Financial Services Authority. Data analysis method used in this research is to use the structure equation model (SEM) method with lisrel 8.80 data processing software. The results showed that enterprise risk management had no significant effect on return on assets, financing to deposit ratio had a negative and significant effect on return on assets, Operational Expenses Operating Income (BOPO) had a negative and significant effect on return on assets, Enterprise Risk Management had a positive effect and significant to Return on Assets with Digital Banking as Mediation, Financing To Deposit Ratio has no effect on Return on Assets with Digital Banking as Mediation, and Operational Expenses Operating Income has positive and significant effect on Return on Assets in Islamic Commercial Banks with Digital Banking as Mediation. Other findings in this study are the Digital Banking variable is a full mediating variable on the effect of enterprise risk management on return on assets, the mediating variable on the effect of financing to deposit ratio on return on assets, and the inconsistent mediating variable on the effect of Operational Expense asset.