The Analysis of Risk Profile and Financial Vulnerability of Households in Indonesia

This paper identifies the vulnerability of household in Indonesia using both Balance Sheet and Financial Margin Approaches with coping strategy analysis in response to financial pressure. The result concluded that the household sector is solvent and sound with high interconnectivity with the non-financial corporation, particularly with banks. The heatmap coping strategies are in the moderate zone. However, it cumulatively tends to change to a high and extreme zone which potentially creates imbalances in the financial system in Indonesia