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

bpr is a financial institution that distributes funds to borrowers, especially to medium, small and micro enterprises (msmes) to increase income and improve the real sector economy. this research was conducted 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 by using return on assets ( roa). data obtained from the financial services authority (ojk) and regulations issued by bank indonesia (bi) obtained using eviews are rural bank financial reports from 2014 to 2019, it is found that npl has an effect on roa while ldr has no effect on roa but simultaneously npl and ldr has an effect on roa. from the results of the hypothesis test, it was found that the magnitude of the influence was 85.33% and the remaining 14.67% were other factors that were not examined. from the results of this study, it is hoped that ojk will be more strict in supervising bpr operations, especially in the district of bandung and for bpr management it is hoped that it can increase roa by channeling loans to borrowers on target so as not to increase npl.