Topical drug delivery system used for centuries offering an advantage of delivering drug directly to the site of action for extended period of time at the affected area that mainly acts the related regions. These systems increase contact time and mean resident time of the selected drug. An aim of the present study to focus on the formulation of a gel containing fruit extracts of Averrhoa carambola and their evaluation characteristics. The gel was formulated using an aqueous fruit extract of Averrhoa carambola using Carbopol 934 and sodium alginate as a gelling agent. The results of preliminary phytochemical investigation showed the presence of phenols, flavonoids, and alkaloids, steroids, terpenoids and carbohydrates. The gel parameters such as pH, Viscosity, spreadability, extrudability were found in satisfied range. The drug content of all prepared gel was found to be (91.25 – 95.13%w/w). An in-vitro drug release results found that, F1 and F4 have shown better percentage release than other formulations, which was taken for anti-microbial and anti-inflammatory activities. An anti-microbial effect of selected formulation has proven active against gram positive and gram negative bacteria than standard. The results showed that an anti-inflammatory effect of formulations containing both gelling agent have shown better reduction in the carrageenan induced paw edema. An optimized formulation promotes better anti-microbial and anti-inflammatory activity than standard. The stability studies proven that there is no significant changes observed in their physical appearance, pH, Spreadability and drug content. And it could be concluded that, prepared formulation containing Averrhoa carambola fruit extract gel possess an effective anti-microbial action and anti-inflammatory activity and suitable for topical application and/or treatment for an inflammatory wound area.