Astragalus fruticosus Forssk. is an endangered wild Egyptian plant, with a poor germination ratio and rich in valuable phytochemicals. This study was aimed to develop an efficient micropropagation protocol as well as a screening of the cytotoxic, antidiabetic activities and phenolic profile of the micropropagated plantlets. Materials and Method:Murashige and Skoog (MS) medium fortified with different concentrations of N6-benzyl amino purine (BAP), kinetin (Kn) and thidiazuron (TDZ) either singly or with auxins as 2, 4-Dichlorophenoxyacetic acid (2,4 D) was used for regeneration studies. Cell viability assay and α-glucosidase inhibition methods were used to evaluate cytotoxic and antidiabetic activities, respectively. Results: MS medium supplemented with 1 mg/l BAP was optimum for direct shoot regeneration from explants. Regenerated shoots were rooted and complete plantlets were obtained and successfully acclimatized and grown under greenhouse conditions. Embryogenic callus was induced in MS medium with 1 mg/l 2,4 D showing 85.3 % callusing capacity, small plantlets of 1.3 - 2.4 cm height were regenerated. Micropropagated plants showed strong cytotoxic and significant antidiabetic activities.Conclusion:Somatic embryogenesis and direct organogenesis are efficient regeneration systems that might be suitable for further biotechnological approaches, as genetic transformation and somatic hybridization for improvement of seed germination ratios of this plant species.