The incorporation of Azolla into soil was investigated in this study for its potential to enhance soil fertility by influencing key parameters, including organic carbon (Organic-C) content, total nitrogen (Total-N), and cation exchange capacity (CEC). This study was conducted in a controlled greenhouse environment using a Completely Randomized Design (CRD) with eight treatments and three replications. The primary objective was to evaluate the effects of Azolla on soil quality, particularly in improving organic matter content and nitrogen (N) retention, both of which are essential for sustainable agricultural management. The findings indicate that Azolla incorporation led to a 29% increase in soil Organic-C and a 21% increase in Total-N compared to control treatments (p < 0.05). Additionally, CEC was enhanced by 33.4%, demonstrating improved nutrient retention capacity. A strong positive correlation was observed between Organic-C content, soil pH, and CEC, suggesting that Azolla contributes to optimizing soil nutrient dynamics. These results highlight the capacity of Azolla to function as a biofertilizer, improving soil fertility and nitrogen cycling while reducing dependence on synthetic fertilizers. The potential of Azolla to serve as an eco-friendly amendment aligns with sustainable agricultural practices aimed at enhancing soil health and long-term productivity. The findings contribute to the growing body of research on biofertilizers, offering valuable insights for soil management strategies that prioritize environmental sustainability and resource efficiency.