analysis of credit and liquidity risk towards profitability of rural bank (bpr) inthe district of bandung registered in the financial services authority (ojk) forthe years 2014 to 2019

Bpr is a financial institution that distributes funds to borrowers, especially to medium, small andmicro enterprises (msmes) to increase income and improve the real sector economy. this research wasconducted on 21 rural banks (bpr) in the district of bandung, by analyzing the non-performing loan(npl) and the loan to deposit ratio (ldr) on the performance of rural banks (bpr) as measured byusing return on assets ( roa). data obtained from the financial services authority (ojk) andregulations issued by bank indonesia (bi) obtained using eviews are rural bank financial reports from2014 to 2019, it is found that npl has an effect on roa while ldr has no effect on roa butsimultaneously npl and ldr has an effect on roa. from the results of the hypothesis test, it was foundthat the magnitude of the influence was 85.33% and the remaining 14.67% were other factors that werenot examined. from the results of this study, it is hoped that ojk will be more strict in supervising bproperations, especially in the district of bandung and for bpr management it is hoped that it can increaseroa by channeling loans to borrowers on target so as not to increase npl.