ABSTRACT: Salinity is one of the major agricultural concern that significantly limits the crop productivity. The plant growth promoting rhizobacteria (PGPR) may contribute in sustainable crop production under salt stress. The current study was designed to isolate the Indole Acetic Acid (IAA) producing salt tolerant PGPR to promote the growth of cotton (Gossypium hirsutum, FH-142) and induce its salt stress tolerance. Ten Salt Tolerant (ST) bacterial strains were screened for their PGP trait in vitro and evaluated for their beneficial effect on cotton plants growth by plant-microbe interaction assay in lab and under natural condition. GC-MS analysis of the metabolites of the selected bacterial strains confirmed the presence of indolic compounds like indole, indole-3-butyramide, benzylmalonic acid and 4-methyl-2-pyrrolidinone. The bacterial isolates ST4, ST5, ST6, ST15, ST16, ST17, ST18, ST20, ST22 and ST25 were identified as Bacillus sp., B. sonorensis, B. cereus, B. subtilis, Brevibacillus sp. B. safensis, B. paramycoides, Bacillus sp., B. cereus and B. tequilensis respectively on the basis of 16S rDNA sequencing. Bacteria inoculated plants had a significant (P < 0.05) increase in percentage germination up to (31%), root length (17%) and shoot length (34%) in lab while in wire house pot experiments, maximum enhancement in root length (31%) and shoot length (29%) was observed. ST bacterial strains inoculation improved the chlorophyll content index (34%), relative water content (36%), leaf area (33%), absorption of K+ (28%) and decreased the uptake of Na+ (58%) from soil in plants under salt stress over control in pot experiment. These ST PGPR have the potential to act as plant defense agents by enhancing plant growth, productivity, and tolerance in saline environment.