PERANAN BANK-FIRM RELATIONSHIP DALAM MENINGKATKAN KINERJA PERUSAHAAN NONKEUANGAN

Abstract

The Role of Bank-Firm Relationship in Improving the Per- formance of Non Financial Companies. This study seeks to examine the effect of bank-firm relationships on the performance of non-financial companies in Indonesia. This study uses the OLS regression method with panel data consisting of 80 non-financial companies in 2011-2016 and has bank ownership and bank loans as samples. The results of the study indi- cate that the presence of banks can spur company performance, especially in the aspect of providing agency problems. However, the company should review further if it will use a bank loan because it raises a series of costs as an effect of the loan.