The past 20 years has seen rapid development of value-added food products. Using largely wasted fruit byproducts has created a potential for sustainable use of these edible materials. The high levels of antioxidant activity, phenolic compounds, dietary fibres and resistant starch in banana pulp and peel have made this tropical fruit an outstanding source of nutritive ingredient for enrichment of foodstuffs. Accordingly, processing of separate banana parts into flour has been of interest by many researchers using different methods (oven drying, spouted bed drier, ultrasound, pulsed vacuum oven, microwave, spray drying and lyophilization). Regarding the high level of bioactive compounds, especially resistant starch in banana flour, the application of its flour in starchy foods provides a great opportunity for product development, even in gluten free foods. This review aims to provide concise evaluation of the health benefits of banana bioactive components and covers a wide range of literature conducted on the application of different parts of banana and the flour produced at various ripeness stages in the food industry. Of particular interest, the impact of drying methods on banana flour properties are discussed.