In this paper we constructed five dimensional axially symmetric cosmological model generated by a cloud of strings with particles attached to them in Lyra manifold. Out of the two different cases obtained one case leads to the five dimensional vacuum universe in general theory of relativity while the other case yields a string cosmological model in Lyra manifold. In the cosmic string model we observed that the sum of tension density and rest energy density of strings vanishes and this model is also inflationary.