To investigate the effect of chlorhexidine gluconate and povidone iodine on wound healing, their antimicrobial activity and their effects on wound contraction in rabbits were studied. Staphyococcus aureus (1${ imes}$10$^$7/) was inoculated on the full thickness skin defects (2${ imes}$2cm) on the back. Antiseptics were applied on the defects 2 hours after Inoculation. The defects were swabbed for bacterial culture 24 and 48 hours after the application of antiseptics. Percentage of wound contraction, based on wound area measured on the day of surgery was calculated for each wound on days 1,7 and 14. The 0.5% chlorhexidine gluconate solution had more effective antimicrobial activity against Staphyococcus aureus in wounds than 0.05% chlorhexidine gluconate solution (p<0.05), and povidone iodine solution and saline (p<0.01). Percentages of wound contraction were not significantly different among different dilutions of the antiseptics and saline. Present study indicated that the antimicrobial activity of chlorhexidine gluconate in wound was superior to that of povidone iodine.