Inorganic fertilizers alone cannot sustain high levels of productivity. It may cause deterioration of soil environment leading to low productivity. An investigation was carried out to develop integrated nutrient management technology for fruit yield of Chilly (Capsicum frutescens L.). The experiment was conducted at IAAS farm, Lamjung in 2014. The experiment was laid out in a completely randomized block design with three replications and having nine treatments viz., N1A1, N1A2, N1A3, N2A1, N2A2, N2A3, N3A1, N3A2 and N3A3. The combinations of nitrogen and Azotobacter is indicated by N & A with respective way of treatments where N1, N2 and N3 indicate Control (without addition of extra nitrogen), 50 kg/ha and 100 kg/ha nitrogen respectively and A1, A2 and A3 indicate control (without inoculation of Azotobacter), soil inoculation and seedling inoculation respectively. The best combination for the overall growth and development of Chilly as found from the conclusions was found to be N3A3 which is the treatment combination of 100 kg/ha nitrogen and seedling inoculation of Azotobacter.