Payame Noor University Economic Growth and Development Research 2228-5954 7 25 2016 12 21 A Comparative Study of The Effects of Financial Development on Income Distribution and Poverty in Islamic Selected Countries (Panel Data Approach) A Comparative Study of The Effects of Financial Development on Income Distribution and Poverty in Islamic Selected Countries (Panel Data Approach) 97 112 2653 FA Mirnaser Mirbagheri Hir Assistant Professor of Economics, Department of Economics, Payame Noor University Siyamak Shokohifard Master of Islamic Economics, Islamic Azad University, Ardabil, Iran Journal Article 2016 04 23 The aim of this study is to evaluate the effect of financial development on income inequality and poverty in selected Islamic countries. The selected countries include: Iran, Indonesia, Jordan, Kuwait, Malaysia, Egypt, Morocco, Oman, Saudi Arabia, Senegal, Turkey, the United Arab Emirates, Qatar and Libya. This study used the combined data methods to test the research hypotheses during the period 2000-2014. According to survey results, the coefficient of financial development in the Gini coefficient equation (-0.068) shows that financial sector development in Islamic countries has reduced income inequality. The effect of financial development on poverty is positive and significant at 5% level. Based on these results a percentage increase in the index of financial development, will lead to increased consumption per capita cost at 0.4 percent and reduce poverty in Islamic countries. The aim of this study is to evaluate the effect of financial development on income inequality and poverty in selected Islamic countries. The selected countries include: Iran, Indonesia, Jordan, Kuwait, Malaysia, Egypt, Morocco, Oman, Saudi Arabia, Senegal, Turkey, the United Arab Emirates, Qatar and Libya. This study used the combined data methods to test the research hypotheses during the period 2000-2014. According to survey results, the coefficient of financial development in the Gini coefficient equation (-0.068) shows that financial sector development in Islamic countries has reduced income inequality. The effect of financial development on poverty is positive and significant at 5% level. Based on these results a percentage increase in the index of financial development, will lead to increased consumption per capita cost at 0.4 percent and reduce poverty in Islamic countries. https://egdr.journals.pnu.ac.ir/article_2653_0c146d17c0a2c2e31a9fe7f14a4855b0.pdf