Durva ghrita is herbal formulation containing Cynodon dactylon and Cow's ghee as its main constituents. In the present study Durva ghrita was evaluated for its wound healing property by incision and excision wound models in male Wistar rats. Treatment with Durva ghrita alone promoted wound contraction and reduced the time for closure showing healing potential comparable to framycetin sulphate cream 1% w/w. Histopathological studies shows proliferation of epithelial tissue, angiogenesis and fibrosis due to treatment with Durva ghrita. The present study demonstrates wound healing potential of the test formulation.