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Depletion of fossil fuels and elevated cost of fuels has caused unfavorable effects, global warming, strange weather conditions, unfavorable air quality, and so on. Biobutanol is now preferential alternative for fossil fuel. In fact world’s dependency on alternative fuel move towards biobutanol. Among all other biofuels, biobutanol is at the forefront as a reasonable, renewable, and lucrative alternative fuel. Low butanol titers, accessibility of companionable feedstocks are the hurdles for biobutanol production. Set on these hurdles modified genetic engineering techniques and metabolic engineering strategies helps to produce economic biobutanol production using cost-effective lignocellulosic materials and microalgae as feedstocks. Strain improvement and highly developed downstream processing are in pipeline for large scale production of biobutanol to meet the up-to-date requirements.