This paper analyses the determinants of banking sector performance in Mozambique over the period 2008 to 2016. For this purpose, 11 determinants were considered, classified into bank specific, banking-industry specific and macroeconomic specific factors, whose hypotheses were tested using the multiple linear regression model, for a sample of eight commercial banks. We find that banks' return on assets was positively influenced by capital adequacy, diversification, and inflation, while liquidity risk and banking efficiency had a negative effect. Regarding return on equity, the explanatory variables with a positive effect were asset quality and level of bank concentration, while the degree of diversification of the bank's activity had a negative effect. Moreover, the variables size, bank deposits, the country's economic growth rate and the central bank's key interest rate had no significant relevance in explaining bank performance in Mozambique.