Causes of Bank Runs in Indonesia

Abstract

: This study aims to examine the cause of bank runs in Indonesia. This study used all conventional commercial banks in Indonesia of the years 2007-2016 as the sample. Statistical analysis tool used was Eviews. The technique of data analysis used was time series regression analysis with Error Correction Model (ECM). The finding of this research showed that bank runs in Indonesia in 2007-2016 were caused by the bank fundamental condition, that is the banks lending performance and their non-performing loans