This study attempts to evaluate the performance and financial soundness of Palestinian Commercial Banks for the year 2015 using CAMEL rating
model. The CAMEL model provides a means to categorized bank based on the overall health, financial status, and managerial operation. Banks
were sustained rating based on the performance in five areas: Capital adequacy, asset quality, management efficiency, earning quality, and liquidity.
We applied capital adequacy ratio to analyze capital adequacy parameter, non-performing loans to total loans to analyze of assets quality parameter,
non expense ratio for analyzing management quality parameter, return on assets and return on equity to analyze earnings ability and total loans to
total deposits ratio to analyze liquidity management.