The development of improved Musa by conventional breeding remains to be a difficult endeavor because of the long generation times, various levels of ploidy, sterility of most edible cultivars and limited genetic variability. Therefore, genetic engineering may offer an alternative method for crop enhancement. The transformation system mediated by Agrobacterium tumefaciens has been used successfully to transform banana during the past 10 years. This article reviews recent progresses on transformation of banana mediated by Agrobacterium tumefaciens and summarizes the factors affecting transformation efficiency. Existing problems and its prospects are briefly discussed.