Mangrove is a complex ecosystem, possessing a diverse group of plants, animals and microorganisms. Interestingly a fascinating group of endophytes is residing in mangrove plants and these have a major role to enhance the growth of plants in the unique environmental condition. So the diversity and the activity of endophytic fungi need to be screened for high biotechnological potential and a valuable source of useful metabolites. In this study 31 endophytic fungi were isolated from mangrove plants, belonging to various genera such as Phoma sp., Mucor sp, Pencillium sp, Aspergillus sp., Phomopsis sp., Acremonium sp., Cheatonium sp., Arnium sp., Eutypella sp., Fusarium sp., Botrytis sp., Geotrichum sp., Aphyllophorals sp. and Nigrospora sp. Screening of these fungal isolates for their antimicrobial potential was done and two prospective isolates MEF 14 and MEF21 were selected. MEF14 and MEF21 were identified as Eutypella sp and Geotrichum candidum respectively, based on 18S rDNA analysis. G. candidum showed antimicrobial activity against human pathogens, thereby suggesting a new source of antimicrobial compounds. Eutypella was found to be a potent source of many exoenzymes such as cellulases, proteases, laccases, lipases and amylases. The findings of this work should pave a way for identification of potential natural product for its application in industrial and pharmaceutical level.