The present investigation was concerned with formulation and evaluation of floating microspheres for Nateglinide using Ethyl cellulose as a release retarded material by solvent evaporation technique. seven different batches of microspheres were prepared by varying the concentration of ethyl cellulose from 0.25% to1.75% The microspheres were characterized for drug content, percentage yield, particle size analysis and surface morphology.The results of all the physiochemical tests of all formulations were found to be favourable. In-vitro floatability studies reveled that most of the microspheres (44 to 95.45%) were floatable. The in-vitro % drug release was found to be in range of 89.18 to 9 . %. at the end of 12 hrs. optimized formulation F4 was evaluated for FTIR, XRD and SEM. XRD and FTIR studies showed that the nature of pure drug Nateglinide remains unaffected till the completion of process of microspheres formation. SEM photographs showed that the Floating microspheres were spherical in nature with smooth surface and uniform distribution of the drug within the microsphere.