Advancement in the area of technology, industrial application demands effective, efficient and successful heat transfer application. Nanofluids are proven potential heat transfer fluids with heighten thermo physical properties and heat transfer performance. In this paper, a comprehensive review on the current status, applications and challenges associated with the use of nanofluids have been evaluated and presented in the study. Authors also critically examined and identified research gaps for further research directions. The comprehensive study and assessment are essential to be carried out to ensure maxima utilization of nanofluid as new and potential heat transfer fluid.