This study investigated the role of microbial biostimulants, specifically Plant Growth Promoting Rhizobacteria (PGPR), in alleviating drought stress in groundnut (Arachis hypogaea L.). The research focused on isolating and screening bacterial strains for their ability to produce osmolytes, which are compatible solutes that help plants withstand drought. Two strains, Acinetobacter calcoaceticus AC06 and Bacillus amyloliquefaciens BA01, were identified as effective PGPR strains that produce high levels of osmolytes such as proline, salicylic acid, trehalose, and glycine betaine under osmotic stress. These strains were tested under mild and severe drought conditions, and their ability to enhance plant growth, photosynthetic pigments, relative water content, and reduce plant sensitivity indexes such as electrolyte leakage and malondialdehyde (MDA) was evaluated. The results showed that these PGPR strains significantly improved drought tolerance in groundnut by inducing osmotic tolerance and metabolic changes. The study also demonstrated that these strains increased the production of antioxidants such as catalase (CAT), ascorbate peroxidase (APX), and superoxide dismutase (SOD), which are crucial for plant survival under drought stress. The findings suggest that Acinetobacter sp. AC06 and Bacillus sp. BA01 can be used as osmolyte-producing microbial biostimulants to enhance drought tolerance in groundnut. The study highlights the potential of PGPR as a sustainable strategy for improving crop productivity under drought conditions.This study investigated the role of microbial biostimulants, specifically Plant Growth Promoting Rhizobacteria (PGPR), in alleviating drought stress in groundnut (Arachis hypogaea L.). The research focused on isolating and screening bacterial strains for their ability to produce osmolytes, which are compatible solutes that help plants withstand drought. Two strains, Acinetobacter calcoaceticus AC06 and Bacillus amyloliquefaciens BA01, were identified as effective PGPR strains that produce high levels of osmolytes such as proline, salicylic acid, trehalose, and glycine betaine under osmotic stress. These strains were tested under mild and severe drought conditions, and their ability to enhance plant growth, photosynthetic pigments, relative water content, and reduce plant sensitivity indexes such as electrolyte leakage and malondialdehyde (MDA) was evaluated. The results showed that these PGPR strains significantly improved drought tolerance in groundnut by inducing osmotic tolerance and metabolic changes. The study also demonstrated that these strains increased the production of antioxidants such as catalase (CAT), ascorbate peroxidase (APX), and superoxide dismutase (SOD), which are crucial for plant survival under drought stress. The findings suggest that Acinetobacter sp. AC06 and Bacillus sp. BA01 can be used as osmolyte-producing microbial biostimulants to enhance drought tolerance in groundnut. The study highlights the potential of PGPR as a sustainable strategy for improving crop productivity under drought conditions.