The singer has pulled out of five of her UK festival appearances, including Lovebox, Rockness, Park Life and Rough Beats.
However, she will still be appearing at some events, with a rep stating: "Azealia Banks will be performing at the Radio 1 Hackney Weekender and Reading and Leeds Festivals this summer, but has unfortunately had to cancel her remaining UK festival appearances due to recording commitments. Her October UK headline tour will still go ahead as scheduled."
Rough Beats festival organiser Mike McSherry admitted that he was "gutted" by the news, adding: "It would have been her first major headlining show in the UK and we were pretty chuffed about getting in there early and backing her to be a great act even before her debut releases.
"I think her management have made the right decision. As great as her Coachella performance was, the UK audience is going to need more than half an hour of material from a headliner."
It was recently confirmed that the star is collaborating with Missy Elliot.
Watch Banks's '212' music video below (adult content):