What is the meaning of Romans 2:28-29?

28 For he is not a Jew, which is one outwardly; neither is that circumcision, which is outward in the flesh: 29 But he is a Jew, which is one inwardly; and circumcision is that of the heart, in the spirit, and not in the letter; whose praise is not of men, but of God. (Romans 2:28-29 KJV)

William Burkitt’s Commentary

Here Apostle Paul comes close and home to the self-confident Jews and touches them in the most sensible part. It was the hardest saying that could sound in a Jewish ear to affirm that circumcision which is outward in the flesh, profits nothing; for they so gloried in it that they accounted it equal to the keeping of all the commandments of God: Now our apostle here takes away the very foundation of this their boasting and glorying by a plain and true distinction. There is, saith he,  a Jew outwardly, that only has the badge of circumcision in his flesh. Now he is not a Jew in God’s account, who is only so by outward circumcision; neither is that circumcision valuable or available, which is only outward in the flesh; but then there is a  Jew, who is one inwardly; namely, by the purification of his heart from all filthy lusts, evil affections, and sinful dispositions, and circumcision of the heart, and in the spirit; that is, a circumcision done in us by the spirit of God, and not barely by the letter of the law: And the praise of this is not of men who cannot discern the heart but of God who is the searcher of the heart and trier of the reins.

Learn hence, That although men are very prone to rest upon church privileges and external performances, as evidences of divine favour, yet they are no testimonies nor signs of the truth of grace. What circumcision, sacrifices, and the temple were to the Jews of old, the same are baptism, the Lord’s supper, and public assemblies to professing Christians of this day. And as the Jews rested in those externals, without eyeing Christ in them, without desiring to drive holiness and sanctification from them: In like manner, multitudes of professing Christians set up their rest in outward duties and repose a fleshly carnal confidence in ordinances without either desiring of, or endeavouring after, any lively communion with the Father, the Son and the Holy Spirit in the exercise of faith and love, without any regard to spiritual warmth in religious duties, and being by ordinances rendered more like to the God of the ordinances, which are the most desirable things, next to heaven itself.

So that I shall conclude the chapter with the same application to Christians now, as the apostle did to the Jews then:  Circumcision, saith the apostle, verily profiteth, if thou keep the law; but if thou be a breaker of the law, thy circumcision is made uncircumcision: For he is not a Jew, &c.

In like manner, say I, “Baptism verily profiteth, if we perform the conditions of that covenant, which we entered into by baptism; but if we do not, our baptism is no baptism: For he is not a Christian, who is one outwardly; nor is that baptism, which is outward in the flesh; but he is a Christian, which is one inwardly, and baptism is that of the heart, in the spirit, and not in water only; and such shall have praise, if not of men, yet God.”