Abstract: This study investigates how internal determinants influence the financial performance of commercial banks in Burundi, an area with limited empirical data. It aims to understand the role that bank-specific factors—such as capitalization, asset quality, operational efficiency, bank size, and liquidity—play in shaping bank profitability, which is measured using Return on Assets (ROA). The study adopts a panel data econometric approach, analyzing secondary data collected from seven commercial banks in Burundi over the period 2018 to 2023. Using SPSS statistical software, the findings demonstrate that four internal factors—capitalization, operational efficiency, bank size, and liquidity—have a statistically significant effect on bank performance. While asset quality showed a positive relationship, its effect was not statistically significant. These findings highlight the critical importance of sound internal management in driving the financial success and resilience of commercial banks in emerging economies such as Burundi.

Keywords: Financial Performance, Internal Determinants, Commercial Banks, Return on Assets (ROA), Capitalization, Operational Efficiency