Diabetes mellitus is among the world’s greatest health hazards. Acacia jacquemontii possess numerous traditional therapeutic uses. This study investigated the role of Acacia jacquemontii ethyl acetate extract (AJEAE) in alloxan induced diabetes in rat model. Current study was performed in two parts, in-vitro, through characterization (HPLC), estimation of TFC, TPC, antioxidant (DPPH assay) and α-amylase inhibitory activities of the studied extract, and in vivo on wistar rats in which animals were divided into five groups NC, DC, GL, AJEAE 250mg/kg and AJEAE 500mg/kg. The effects of AJEAE on FBG, serum glucose, insulin, HBA1c, lipid profile, inflammatory cytokines (IL-6, TNF-alpha) and oxidative stress markers (LPO, NO, SOD, CAT, GPx) were evaluated. Our findings confirmed the presence of quercitin, kaempferol, gallic acid, vanillic acid, syringic acid, M-coumaric acid, sinapic acid, chlorogenic acid, cinamic acid and ferulic acid in AJEAE. TFC and TPC in AJEAE were 83.83 mg GAE/g and 77.06 mg QE/g respectively. Significant inhibition of DPPH and α-amylase activities was exhibited by AJEAE. Alloxan injected rats showed marked hyperglycemia, hypoinsulinemia and increased inflammatory markers levels as compared to normal control. Additionally raised levels of TG, TC, VLDL, LDL, LPO, NO and decreased levels of SOD, CAT and GPx were observed in diabetic rats. AJEAE significantly (p< 0.05) improved the aforementioned parameters and the protective efficacy was comparable to glibenclamide. Histopathological findings also evidenced the anti-hyperglycemic properties of AJEAE through regeneration of pancreatic β cells. Conclusively our findings demonstrated the antihyperglycemic, antihyperlipidemic, antioxidant, anti-inflammatory and pancreatic beta cells regenerative properties of AJEAE against alloxan induced diabetes.