The Effect of COVID-19 Pandemic on Corporate Dividend Policy in Indonesia: The Static and Dynamic Panel Data Approaches

This research examines the effect of crisis due to COVID-19 pandemic on dividend policy in Indonesia. The purposive sampling method was used collect data from corporates listed IDX 2014 2020 and analyzed using static dynamic panel approaches. fixed-effect models (FEM) were selected for regression. Meanwhile, first difference-generalized moments (FD-GMM) system-generalized (SYS-GMM) determine robustness estimated data. results showed that led higher distribution SYS-GMM. Furthermore, companies maintained level as a positive signal investors which lifted sluggish trade condition capital market. Profitability previous year dividends positively affect robustly. age affects FD-GMM. Financial leverage has robust effect, firm size an FD-GMM different directions, while investment opportunity does not policy. Statistically, FEM violates best linear unbiased estimation proven form parameters much estimates produced by model, both coefficient influence direction significance, omitted variable bias occurs evidenced test with model solved. is also reference considering investors’ decisions new normal condition. Therefore, can be considered ability stock trading activities