Fadi Shihadeh

This study aims to examine the relationship between financial inclusion indicators and bank performance in Palestine. The study population and its sample include all 15 banks operating in Palestine and cover the period 2006 to 2016 with panel data from 162 observations. To interpreter the variables, the study uses the volume of loans to SMEs (usage), banking penetration, number of ATMs and branches (access), and online banking, the latter if it is a dummy variable. Further, the study uses operational profits, total revenues and ROE as bank performance indicators and dependent variables. Using empirical analysis, the results indicated that banking penetration tools, branching and ATMs, could enhance bank performance. Despite the decline in lending to SMEs, this factor could positively improve the performance of banks in Palestine. In general, financial inclusion helps banks improve their performance and increase their revenues. This study recommends that government organizations can use the obtained results to formulate their strategies and agendas for improving financial inclusion in Palestine and other developing countries.

Acknowledgment
The author is thankful to Bo Liu and Azzam Hanoon for their comments and suggestions to improve this paper. The author discloses that funding for the writing of this paper comes from the TAAWON research fund.

This study seeks to investigate the relationship between financial inclusion factors and banks’ performance and risk among MENAP countries. The sample includes 271 banks located in 24 countries in the region that are interconnected, and micro- and macro-variables that affect the performance and risk levels of these banks. The results indicate that enhancing the level of financial inclusion in the region can increase banks’ performance and decrease their risk. They also point out where these banks could benefit more from financial inclusion in terms of reducing their risks. Future research may include investigating financial inclusion tools to explore the relationship between financial inclusion and banks’ performance and risk in developing countries. More research can be conducted on each MEANP country to analyze their characteristics and the influence of financial inclusion on bank performance and risk. In addition, future research should be conducted to study the relationship between regulations, rules and financial inclusion across countries and economies.

Acknowledgment 
The author is thankful to Prof. Xiuhua Wang, Bo Liu, and Yipeng Wang for their comments and suggestions to improve this paper. The author discloses that funding for the writing of this paper comes from the TAAWON research fund.