In present study, bioreduction of silver nitrate to silver nanoparticles was carried out using leaf extracts of Monarda citriodora plant. Different reaction parameters viz: inorganic silver salt (AgNO3) concentration, monarda extract concentration, pH and reaction time were varied to optimize the conditions for maximum recovery of silver nanoparticles. Monarda citriodora plant could efficiently bio-reduce silver ions. The efficiency of process increased with increasing salt concentration. Maximum recovery of AgNO3 was attained at 5 mM concentration with 5% concentration of MC leaf extract. The mixture incubated for 24 h at pH 8 gave maximum recovery. The images from scanning electron microscope (SEM) confirmed the dispersed state of silver nanoparticles. The energy-dispersive spectroscopy (EDX) graphs depicted that silver nanoparticles comprised 91.97% of silver mixed with some groups like N and Al acting as capping agents. Presence of organic groups like –OH was confirmed by Fourier transform infrared spectroscopy (FTIR) graphs. The x-ray diffractometer (XRD) peaks corroborated with presence of silver in mixture. Antimicrobial and anti-oxidant activities of nanoparticles were studied. From the results it was observed that silver nano-particles are potential agonistics to many microbial strains and also have efficient free radical scavenging properties when compared with ascorbic acid.