Soundness of a bank is a bank's ability to do a normal banking operations and able
to do all the duty well by using the methods that suit with banking regulations
(Triandaru and Budisantoso, 2006). Because the level of soundness in the banks is
very important, then Bank Indonesia implementing the rules of the soundness of
banks. Thats why the topic of this research is The Soundness of Bank Buku IV
(Bank Rakyat Indonesia, Bank Negara Indonesia, Bank Mandiri, Bank Central
Asia, and Bank Cimb Niaga) using RGEC Method (Risk Profile, Good Corporate
Governance, Earning and Capital from year 2013 to 2017.
This research used Annual Report of Bank Buku iv as the data and from the data
researcher found the result of Risk Profile Ratio that divided in to two part: Credit
Risk which calculated by using Non Perfoming Loan and Liquidity Risk which
calculated by using Loan to Deposite ratio, The ratio of Good Corporate
Governance can be found from self assestment, the ratio of Earning can be
calculated by using Return on Asset, and Capital can be calculated by using
Capital Adequacy Ratio. After the ratio of RGEC is already found then the result
will be known which bank is healthy or not and from the ratio researcher will put
the criteria of the bank based on the composite rating that already made by Bank
Indonesia. The result of this Research is all of bank buku iv is not really good in
Loan to Deposit ratio but overall Bank Buku iv is categorized as a very healthy
bank but in year 2015 one of the bank (Bank Cimb Niaga) is catagorized as a
healthy bank.