Nano-biotechnology gives emphasis for the synthesis of nanoparticles using living organisms such as microorganisms, plant extracts or plant biomass in an eco-friendly way. Among the various agents used for nanoparticle synthesis, plants and the extracts from various parts of the plant have found to possess important applications. The biomolecules found in plants induce the reduction of Ag+ ions from silver nitrate to silver nanoparticles (AgNPs). The Caesalpinia bonduc stem bark extract was used as reducing and stabilizing agent for the synthesis of silver nanoparticles. Synthesized nanoparticle is confirmed by the change of color from transparent yellow to dark brown indicates the formation of silver nanoparticles. UV-Vis absorption spectroscopy was used to monitor the quantitative formation of silver nanoparticles. The maximum Peak was observed at 490 nm and also characterized by SEM, TEM and the average particle size was found to be in between 5-50nm respectively. The antibacterial assay was done on Gram positive bacteria like Staphylococcus aureus, Basillus subtilis and Gram negative bacteria like Escherichia coli. The plant based route could be considered to be an environmental friendly, safe and economic biological method for the silver nanoparticles production.