We develop higher
dimensional amenability for Banach algebras from the viewpoint of Banach homology
theory. In particular, we show that such amenability is equivalent to the flatness of a
certain bimodule and a resultant splitting module map gives rise to the higher
dimensional virtual diagonals of Effros and Kishimoto. The theory is developed for
the non-unital case. Examples of n-amenability are given and it is shown (among
other results) that a 2-amenable Banach algebra is amenable if and only if there
exists an inner 2-virtual diagonal.