The current work is undertaken with a view to carry out studies on innovative systems based on nano-sized carbohydrate polymer/metal nanoparticles and their applications in medical domains. This work deals with the preparation of cross-linked starch and oxidized starch nanoparticles loaded with Diclofenac Sodium, Indomethacin and Acyclovir as a model drugs using nano-precipitation technique. Furthermore, the work deals with the preparation of powdered silver nanoparticles using environmentally benign polymers which plays the dual role as reducing and stabilizing agent. The antimicrobial wound dressing of silver nanoparticles treated cotton fabrics is proposed to have promising potential in smart textiles, medical purposes as well as in various biological fields.