The concept of electronic banking today has given birth to a number of modern technology in the banking industry, many banks across the world in recent time have improve their service delivery especially with the new technology. This is contributing significantly to the performance of the banks. This study examines the effect of electronic banking on bank performance in Djibouti. A structured Likert scale was used for the data collection. 250 respondent were selected on convenient basis from different banks in Djibouti. Structure Equation Model (SEM) and partial least square were used for the Analysis. The results revealed that there is a significant positive relationship between electronic banking on bank performance. This study contributes theoretically to the electronic banking literature especially in the context of Africa. Contributions and recommendations has been suggested with regards to future research works in this field.