Purpose - The banking sector in many MENA countries has recognized noticeable bank consolidation, which has dropped the number of banks and raised market concentration. This might raise questions about the impact of such increase in concentration on the soundness of the banking sector and consequently on the financial stability. Therefore, this study examines the impact of concentration on the financial stability of MENA banking sectors. Design/Methodology/Approach – the study adopts the FM-OLS panel method on 15 MENA banking sectors covering the period 1996-2016. Findings – ...