In the present investigation, nanomaterialswas prepared with MgO and Medicinally important plant Aloe Vera with a simple inexpensive techniques for synthesis of nanostructures with potential applications. Phytochemical Analysis was performed. It revealed the presence of phyto-chemical constituents such as, carbohydrate, tannis, flavanoids, glycosides, phenol, alkaloid, protein. Determination of antimicrobial activity was performed with synthesized nanoparticle, with better activity showing 4.6mm Zone of inhibition for the pathogen Staphylococcus aureus. Determination of antifungal activity was performed with Nanoparticle against fungal pathogen Aspergillus niger and Aspergillus flavus. Evaluation of nanoparticle synthesized was performed to check its efficacy for its pharmacological effect to be used as Anti-inflammation, Anti-pyretic study using animal model. Evaluation of toxicity study of synthesized nanoparticles by haemolysis. The study was carried out to extract aloeveraby pulverization, purified (soxhlet apparatus). The Magnesium tetrahydrate, was used for preparation of nanoparticles, since it has high surface area, with mild reactions. MgO nanoparticles was prepared by green synthesis. Biosynthesized nanoparticles were detected by colour change from green to honey brown. The green synthesized nanoparticles were characterized by X-ray Diffraction studies. Calcined fixed temperature, and no other impurities are found in synthesis. In order to evaluate, the general view of morphology of calcined nanoparticles. Scanning Electron microscopic Studies, with SEM images have been observed. It showed that green synthesized nanoparticles are agglomerated in nature with a spherical in shape with diameter of Nanoparticle is 140 nm.