Abstract:
With the development of Chinese economic, the commercial environments in China are
more diversity, seems everything goes well. But the commercial banks non-performing
loan are increasing. Therefore, this research aims to find the specific factors that
influence the Non-Performing Loan (NPL) in Chinese five state-owned commercial
banks. This research use quantitative research method and using secondary data that
taken from year 2008 to 2015 from 5 commercial banks which public on Shanghai
Stock Exchange (SSE) and Sina Finance. In this research use Eviews 9 Student Version
to conduct the Panel regression model. The result shows that GDP growth rate and
capital adequacy rate have negative and no significant effect to NPL. Inflation rate has
positive and significant effect to NPL. Benchmark lending rate and loan amount has
negative and significant effect to NPL. There is significant simultaneous influence of
GDP growth rate, inflation rate, benchmark lending rate, loan amount, and CAR on
NPL
