Abstract Welding of dissimilar magnesium alloys and aluminum alloys is a critical issue because of their worldwide increasing applications. Dissimilar welding technology has touched new frontiers to take up the benefits of both metals simultaneously through their local demands. Friction Stir Welding (TWI, 1991) is rapidly blooming in the contemporary fields of aerospace, defence, marine, automotive, and railway industries as proven approach of solid state joining. Owing to its versatility, affability to environment and energy efficiency, it is widely getting acceptance as “green technology” in modern industries. FSW has facilitated joining of high-strength, lightweight aluminum and magnesium alloys which were earlier treated as unweldable by conventional fusion welding. Present article significantly appraises the review of growth of research towards joining of dissimilar aluminium–magnesium alloys by friction stir Processing (FSP). The investigative approach is addressed through the description of joining mechanism and hurdle faced in unification of Al-Mg. Formation of intermetallic compounds (IMCs) are inevitable during joining of such heterogeneous alloys (Al-Mg) irrespective of joining methods. So it becomes challenging to impede formation and growth of IMCs, hence research community always looks for novel techniques, a few of which are covered in this piece of writing. Present review also addresses responsible theories for IMCs and its correlation with process parameters through (categorized A, B, C) evolution of microstructures. Unlike fusion welding different sorts of defects have also been reported in literature originating through FSP. Moreover, influence and correlation of process variants have been covered through study of mechanical and metallurgical characterization mentioned in literature. Mainly literature advocates research involving optimization of process parameters and their compounding effects that eventually govern quality of weld and joint efficiency during FSP of Al-Mg. Finally, article throws light on summary of FSW developments by novel techniques and untouched future endeavours being potential area of research for Al-Mg