FINANCIAL PERFORMANCE ANALYSIS OF CONVENTIONAL AND SHARIA BANKS (Studies in the Form of state-owned Bank )

Abstract

This  study  aims  to  analyze  how  the  performance  of  State-Owned  Sharia  Bank
compared to State-Owned Conventional Bank. It also aims to analyze the alternative of State-
Owned Sharia Bank establishment. Indicators of bank performance assessment are based on
bank health assessment which assessed  through capital, asset quality, management, earning,
liquidity.
The population  in  this study  is State-Owned Bank which will be  the main candidate
for establishment of State-Owned Sharia Bank, both the conventional and sharia entities with
total 6 (six) banks, namely  : PT. Bank Rakyat  Indonesia, Persero  (Tbk), PT. Bank Mandiri,
Persero (Tbk), PT. Bank Nasional Indonesia, Persero (Tbk), PT. Bank BRI Syariah, Persero,
PT. Bank Syariah Mandiri, Persero, PT. Bank BNI Syariah, Persero.
This research was conducted using analysis of comparative data that is comparing one
data with the other's data. CAMEL variables which used to analyze the health rate of the bank
of 8  (eight)  ratios,  that are  : capital adequacy  ratio  (CAR), non performing  loan  (NPL), net
profit margin  (NPM),  return  on  asset  (ROA),  return  on  equity  (ROE),  net  interest margin
(NIM), operating expense to operating income (BOPO), and loan to deposit ratio (LDR). The
type of data used is quantitive data in the form of annual reports of banks during the period of
2010-2012.
The  results  of  this  study  indicate  that  conventional  banks  have  better  performance
than Sharia Banks.  In addition, alternative establishment of  state-owned Sharia Banks wich
reflect better performance is by merging Sharia and Conventional entities that exist under the
same bank.

Keywords: performance, State-Owned Sharia Bank, CAMEL (capital, asset, management,
earning, liquidity), CAR, NPL, NPM, ROA, ROE, NIM, BOPO, LDR, comparative