Research Article
The Impact of Risk Governance and Ownership Structure on Bank Risk-Taking Behavior in ASEAN-5 Banks for The Period 2012 – 2021
@INPROCEEDINGS{10.4108/eai.21-9-2023.2346176, author={Fira F Indrawan and Dewi Hanggraeni}, title={The Impact of Risk Governance and Ownership Structure on Bank Risk-Taking Behavior in ASEAN-5 Banks for The Period 2012 -- 2021}, proceedings={Proceedings of the 2nd International Conference on Contemporary Risk Studies, ICONIC-RS 2023, 21-22 September 2023, Bali, Indonesia}, publisher={EAI}, proceedings_a={ICONIC-RS}, year={2024}, month={6}, keywords={risk governance ownership structure risk taking}, doi={10.4108/eai.21-9-2023.2346176} }- Fira F Indrawan
Dewi Hanggraeni
Year: 2024
The Impact of Risk Governance and Ownership Structure on Bank Risk-Taking Behavior in ASEAN-5 Banks for The Period 2012 – 2021
ICONIC-RS
EAI
DOI: 10.4108/eai.21-9-2023.2346176
Abstract
This study analyzes how risk governance and ownership structure influence bank risk taking behavior in ASEAN-5 countries. The research sample consists of 34 banks from 2012 to 2021, using the panel data regression method. The results of the study show that risk governancehas a negative and significant impact on credit and liquidity risk. Meanwhile, it has a positive and insignificant impact on operational risk and a negative and significant impact on insolvency risk. Furthermore, ownership structure has a negative and insignificant impact on credit and operational risk but a positive and insignificant impact on liquidity and insolvency risk. Additionally, bank size seems to have a significant effect on credit, liquidity, operational, an insolvency risk. Thus, regulators and banks can optimize risk governance, particularly at risk committee meetings, by increasing the frequency of meetings on a periodic basis.