Increased severity of droughts, due to anthropogenic activities and global warming has imposed a severe threat on agricultural productivity ever before. This has further advanced the need for some eco-friendly approaches to ensure global food security. In this regard, application of plant growth-promoting rhizobacteria (PGPR) can be beneficial. PGPR through various mechanisms viz. osmotic adjustments, increased antioxidant, phytohormone production, regulating stomatal conductivity, increased nutrient uptake, releasing Volatile organic compounds (VOCs), and Exo-polysaccharide (EPS) production, etc not only ensures the plant’s survival during drought but also augment its growth. This review, extensively discusses the various mechanisms of PGPR in drought stress tolerance. We have also summarized the recent molecular and omics-based approaches for elucidating the role of drought responsive genes. The manuscript presents an in-depth mechanistic approach to combat the drought stress and also deals with designing PGPR based bioinoculants. Lastly, we present a possible sequence of steps for increasing the success rate of bioinoculants.