In this study a total of 34 bacterial cultures were isolated from Uttarakhand (Rishikesh) acidic soil (pH 5.6) were screened for plant growth promoting traits. Isolations were carried out on nutrient and kings B media in which colony forming unit (CFU) count was log10 6.94 and log10 5.04 respectively. About 17% and 26% of the isolates were found to be antagonistic to plant parasitic fungi Fusarium verticilloides and Rhizoctonia bataticola. Indole acetic acid (IAA) production, P-solubilization potential, siderophore and HCN production was found in 3%, 26%, 12% and 6% of isolates respectively. Genetic diversity was analyzed through 16S rDNA sequencing of six selected isolates showing at least two plant growth promoting (PGP) traits. An abundance Gram-positive Firmicutes like Bacillus spp. (50%) was observed followed by one each strain belonging to α-, β- and γ – proteobacteria. Ochrobactrum spp. LK-8 exhibited different PGP attributes like Siderophore, HCN production and antifungal activity. Bacillus megaterium LK-23 also showed P-solubilization ability and antifungal activity. Phylogenetic tree illustrated two major clusters each comprising of three strains. In brief, bacterial functional and genetic diversity was affected by site location, climate and edaphic factors.

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