The enhancement of plant growth by PGPR indicates their potential as biofertilizers in the field of agriculture. The potential negative effect of chemical fertilizers on the global environment and the cost associated with production has led to research with the objective of replacing chemical fertilizers with microbial inoculants. PGPR have gained world-wide importance and acceptance for sustainable agricultural benefits. PGPR's are the potential tools for future of sustainable agriculture. The application and commercialization of PGPR for sustainable agriculture is a growing and demanding market world-wide. In present work, isolation and optimization of fungi were demonstrated which can dissolve phosphate and promote growth by producing phytohormone IAA.