Capital is considering blood of bank strength. Since, it helps banking sector to operate activities. In the event of difficulties it enables banks to operate continuously in viable and sound manners and solves the difficulties. This study examined the effect of capital structure (debt to equity) on profitability, liquidity, tangibility, interest rate and growth rate to measure performance of banking sector of Pakistan. For this study include five banks annual reports between 2005 and 2015. The research work use pooled analysis to summarize the data for correlation and regression. The result shows that there are positive significant relationships between profitability, tangibility, liquidity, interest rate, and growth rate and capital structure. The paper that major player such as policy maker, bank manager and financial analyst to understand the variables that impact that effect the Pakistani banking industries and increase competitiveness in banking industries. I have short of time and use only eleven years financial reports of five banks. Future researcher should propose to increase numbers of banking and include more variables. Key Words: Banking Sector, Capital Structure, Profitability, Liquidity, Tangibility, Interest Rate, Growth Rate.