The hexane, methanol and chloroform extracts of bulbs of orchid Prosthechea michuacana (PMIC) were studied for their wound healing and anti-inflammatory properties. Wound healing effects were studied on incision (skin breaking strength), excision (percent wound contraction). Collagen, hexosamine, total protein and DNA content in the granulation tissues were determined in addition to the rates of wound contraction and period of epithelialization. Topical applications of hexane extract PMIC produced increases in tensile strength, collagen content (hydroxyproline), and is better epithelisation thereby facilitating the healing. The hexane extract also was found possess significant anti-inflammatory activity in both acute (carrageenin-induced edema) as well as subacute (cotton pellet) animals models. Thus it could concluded that PMIC hexane may enhance the process of wound healing by influencing phases such as inflammation, fibroplasias, collagen synthesis and maturation, and wound contraction. Hexane extract significantly inhibited later phase of edema so it seems possible that P. michuacana blocks prostaglandins and cyclooxygenase release in later phase of acute inflammation, consequently decrease in granuloma weight indicates the suppression of the proliferative phase, which was effectively inhibited by the PMIC.