The Influence Of Equity Bank, The Third Party Funds, The Total Of The Branch Offices, The Level Of Interest Rates And The Money Supply Towards The Total Of Credits For Micro, Small, Medium Enterprises Through State-Owned Enterprises As Well As Its Impl

Abstract

The growth of Micro, Small, and Medium Businesses in Indonesian countries is not optimal due to the small amount of aids capital. State-owned banks as agents of development are expected to be able to fulfill most of the shortage of capital by providing credit for Micro, Small, and Medium businesses, which are expected to increase Gross Domestic Product while reducing the unemployment rate. Previous research, the variables used were generally 3 and 4, the time period variable used was 5 years shorter, on average, the banks were studied individually, the renewal in this study used 7 variables with a longer term of 11 years and was a combination of 4 state-owned banks Where the variables used have never been used in Indonesia, maybe outside Indonesia. In our opinion, this research really needs to be known and is very interesting to discuss. The results declared that the factors of Capital, Third Party Funds, Total Branch Offices, Interest Level, and Money Supply simultaneously had a significant effect on the Total Credit for Micro, Small, and Medium Business of State-Owned Enterprises. The panel data used are quarterly secondary data for the years 2007-2017. Partially, bank equity and interest rates have a negative influence, the influence of other variables is significant and positive on the total credit for micro, small and medium business of state-owned enterprises. Regression Least Squares Y = 18429.04 – 0.539978 + 0.638524+ 31.47980 -37.12698 + 40.18863. The total credit of Micro, Small, and Medium businesses, State-Owned Business has a very influential positive to Gross Domestic Product (Regression Z.1 = 1204743 + 5.837514, Total MSME Loans for the Gross Domestic Product) and has a very influential negative influence to the Unemployment Rate (Regression Z.2 = 825,654 -0.00795, Total MSME Loans for the Unemployment Rate). The government shareowner banks as well as an agent of development does not only focus on dividend income, corporate social responsibility (CSR), but much more importantly is the multiplayer influence on the increase in total credit for Micro, Small, and Medium-sized Business of State-Owned Banks to use increase Gross Domestic Product at the same time can reduce the unemployment and have an impact on increasing income taxes, economic to increase and poverty alleviation. In the long term of growth, business expansion, and increased employment convenience for small business entities to become large entrepreneurs as well as host for their own country in the context of poverty alleviation and could compete in the era of the ASEAN Economic Community. The last results of this research, in addition to developing knowledge, also provide input to the government as a regulator as well as the majority shareholder in order to increase the utility of state banks to support the growth of Gross National Product and decrease the Unemployment Rate in Indonesia.