Abstract: The present study was aimed at the formulation and evaluation of Ketoconazole-loaded transferosomes for improved antifungal therapy. Ketoconazole is a broad-spectrum antifungal agent widely used in the treatment of superficial fungal infections; however, its therapeutic efficacy is limited due to poor skin penetration and low aqueous solubility. The objective of this study was to develop transferosomal formulations capable of enhancing drug permeation and improving antifungal effectiveness. FTIR studies confirmed the compatibility between the drug and selected excipients, indicating the absence of significant drug-excipient interactions. Ketoconazole-loaded transferosomes were prepared by the thin-film hydration method and evaluated for particle size, entrapment efficiency, surface morphology, in-vitro drug release, and stability studies. The particle size of the formulations ranged from 122 to 135 nm, indicating the formation of nanosized vesicles suitable for enhanced skin permeation. SEM analysis revealed spherical and smooth vesicles without aggregation. Entrapment efficiency ranged from 79.63% to 84.20%, with formulation F4 exhibiting the highest drug entrapment. In-vitro diffusion studies demonstrated sustained drug release from all formulations over 8 hours, with F4 showing the highest cumulative drug release of 97.53%.Stability studies conducted for three months under different storage conditions indicated that the optimized formulation remained stable with no significant changes in drug release characteristics.