Seventeen rhizobacteria isolated from different ecological regions, i.e. Brazil, Indonesia, Mongolia and Pakistan were studied to develop inoculants for wheat, maize and rice. Almost all the bacterial isolates were Gram-negative, fast-growing motile rods and utilized a wide range of carbon sources. These isolates produced indole-3-acetic acid at concentrations ranging from 0.8-42.1 mu g/mL, irrespective of the region. Fifteen isolates fixed N at rates ranging from 20.3-556.8 nmole C2H2 reduced/h/vial. Isolate 8N-4 from Mongolia produced the highest amount of indole-3-acetic acid (42.1 mu g/mL), produced siderophores (0.3 mg/mL) and was the only isolate that solubilized phosphate (188.7 mu g P/mL). Inoculation of the wheat variety Orkhon with 8N-4 isolate resulted in the maximum increase in plant biomass, root length, and total N and P contents in plants. Random amplified polymorphic deoxyribonucleic acid ( RAPD) analysis, conducted with 60 decamer primers, revealed a high level of polymorphism among the bacterial isolates from different geographic regions and a low level of polymorphism among isolates from the same region. The complete 16S rRNA gene sequence analysis demonstrated that 8N-4 is a Bacillus pumilus strain ( Accession number AY548949). It was concluded that Bacillus pumilus 8N-4 can be used as a bio-inoculant for biofertilizer production to increase the crop yield of wheat variety Orkhon in Mongolia.