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Indole-3-acetic acid (IAA)-producing bacteria Kocuria turfanensis strain 2M4 was isolated from the rhizospheric soil of halotolerant plant Suaeda fruticosa from a unique saline desert of Little Rann of Kutch, Gujarat, India. Rhizobacteria was bright orange pigmented, gram-positive, coccoid, non-endospore forming, and aerobic in nature. 16S rRNA gene sequence analysis showed that 2M4 isolate matched best with type strain of K. turfanensis HO-9042(T). Isolate optimally produced 38 mu g ml(-1) IAA when growth medium was supplemented with 600 mu g ml(-1) of L-tryptophan. Thin layer chromatography and Fourier transform infrared spectroscopy analysis were performed to corroborate IAA production. To characterize rhizobacterial isolate as a plant growth-promoting bacteria, it was tested for phosphate solubilization where it solubilized maximum 12 mu g ml(-1) phosphate in presence of fructose, produced 53% siderophore units under iron-free minimal MM9 medium and produced 1.8 mu mol ml(-1) ammonia in peptone water broth. Plant growth promotion by test isolate was studied on groundnut (Arachis hypogaea L.) under non-saline and saline soil. There was increase by 18% in total plant length and 30% in fresh biomass observed under non-saline control soil. Under saline soil, test isolate showed 17% increase in total length of the plant and 13% increase in fresh biomass.