This study examines the influence of transformational leadership style and regulatory policies on banking performance in South Sudan, using Cooperative Bank, Ecobank, and the National Bank of Egypt in Juba as case studies. The study was motivated by persistent challenges affecting the banking sector, including macroeconomic instability, shortages of foreign and local currency, liquidity constraints, weak regulatory enforcement, inadequate corporate governance, and declining customer confidence. Specifically, the study sought to examine the influence of transformational leadership on banking performance, assess the effect of regulatory policies on commercial bank performance, and determine the relationship between transformational leadership, regulatory policies, and banking performance. Guided by transformational leadership and institutional theories, the study adopted a positivist paradigm and a quantitative cross-sectional survey design. Data were collected from a sample of 96 employees selected from a target population of 157 using structured questionnaires. The collected data were analyzed using the Statistical Package for the Social Sciences (SPSS) Version 26 through descriptive statistics, Pearson Product-Moment Correlation, and Multiple Linear Regression Analysis. The findings revealed strong, positive, and statistically significant relationships among transformational leadership, regulatory policies, and banking performance, with Pearson correlation coefficients ranging from 0.556 to 0.970 at p < 0.01. Transformational leadership practices, including strategic vision, employee motivation, innovation, and organizational commitment, significantly enhanced banking performance. Likewise, regulatory policies relating to Basel III compliance, corporate governance, risk management, and regulatory oversight significantly improved profitability, operational efficiency, institutional stability, and asset quality. The study concludes that transformational leadership and effective regulatory policies are complementary drivers of banking performance are critically required. It recommends strengthening leadership development, regulatory compliance, corporate governance, and risk management frameworks to enhance institutional resilience and promote sustainable banking sector growth in South Sudan.