FACTORS AFFECTING THE HOME LOAN INTEREST DETERMINATION OF GOVERNMENT SAVINGS BANK

Abstract

The study on factors affecting the home loan interest determination of Government Savings Bank (GSB) collected data from Bank of Thailand and GSB with monthly time-series based secondary data method during 2013-2017. The data consisted of Minimum Loan Rate (MLR), Policy Rate (PR), Exchange Rate (EX), Consumer Price Index (CPI) and Minimum Retail Rate (MRR) of GSB. The study performed the Multiple Regression Analysis by Ordinary Least Squares (OLS) method with EVIEWS Program. The relationship test between dependent variable MRR and 4 independent variables including MLR, PR, EX and CPI found that the relationship had low Standard Deviation and did not cause the multicollinearity problem among independent variables. According to the summary, using statistical hypothesis testing of coefficient at the same time found that Prob (F-statistic) was 0.000 and it summarized that coefficient of 4 independent variables were different from 0 with significance level at 5%. In the other words, all variables i.e. MLR, PR, EX and CPI could explain the dependent variable, MRR, with Adjusted R-squared at 68.64% or credibility and reliability value of equation at 68.64%