Dynamics of certain N₂fixing bacteria such as Rhizobium, Azospirillum and Azotobactor, nodule number in dominant legume, Atylosia trinervia, P-solubilizing bacteria, actinomycetes and fungi were studied in unbumed and burned site of natural grassland, southern India. Population of N₂- fixing bacteria, P-solubilizing bacteria, fungi and nodule number in legume increased significantly in bumed sites. On the other hand, the actinomycetes population remained unchanged. Thirty six species of fungi with tricalcium phosphate solubilizing ability were recorded. The most efficient P-solubilizing fungi recognised in the soils of the study sites are Absidia ramosa, Gongronella butlerii, Mortieralla spinosa, Mucor racemosus, Rhizopus nigricans, R. stolonifer, R. oryzae, Aspergillus fumigatus, A. nidulans, A. niger, Theilavia tenicola and Cheatomium lunasporium.