The increasing majority of mental health problems among university students and their potential impact on academic performance is a major concern. Despite the known benefits of physical activity and psychological health, there is limited research examining its role in reducing mental health and improving academic performance. Therefore, this study investigates the influence of physical activity and psychological health on the academic performance of university students with mental health as a mediating effect. Employing a quantitative cross-sectional research approach, data were collected from 370 students at public sector universities through a self-administered questionnaire. Collected data were analyzed through the SPSS using process mediation. Descriptive statistics highlighted students' positive perceptions of their physical activities, psychological health, mental health, and academic performance. Further, regression results demonstrated that all dimensions of physical activities namely control competence for physical training, physical specific mood regulation, and effective physical activity self-control positively and significantly impact academic performance.  In the same vein, psychological health also positively and significantly influences academic performance. Mental health also partially mediates the relationship between physical activity dimensions, psychological health, and academic performance. The findings emphasize the significance of raising physical activities and psychological health to enhance students' academic performance. This research contributes valuable insights into the relationship between physical activity, mental health, and academic performance with implications for educational policy and student support programs. This study is innovative in investigating the mediating effect of mental health on the relationship between physical activity and academic performance, and it is the first study in the context of university students. It places unique emphasis on the complementary roles of physical and psychological well-being in academic performance. This study addresses an important gap by examining the relationship of these factors in a specific educational context.