The issue of Intellectual Capital is growing significantly and becoming an important research subject for accounting due to its role in determining the value and performance level of a company. Nevertheless no study has examined the performance of Intellectual Capital in two different economic conditions. The purpose of this study is to investigate the performance of Intellectual Capital in different economic conditions (monetary crisis) and its relevance to corporate performance.

This study uses the banking sector listed in Indonesia Stock Exchange between 2007 and 2009. Multiple regression method and t-test are used to analyze the data. There are several independent variables used in this study namely ROA and MB as proxies for firm and market performance. VAIC is used as a dependent variable and employed to measure intellectual capital. The study found that Intellectual Capital affects ROA but Intellectual Capital Performance of the banking industry showed no discrepancy both before and after the monetary crisis in 2008. The contribution of this study namely IC is able to become alternative measurement for company performance and a toll for investors to assess company's performance from non-financial perspective.