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This prospective observational study was carried out in a tertiary health care centre in Kolkata, West Bengal for one year July 2016 to June 2017. Study population comprised 70 pregnant mothers at 37 completed weeks of gestations with oligohydramnios. After admission amount of amniotic fluid was assessed both clinically and sonographically. All the selected cases of oligohydramnios were monitored by continuous electronic foetal monitoring in labor and managed according to the clinical condition of the patients and foetal distress. Regarding perinatal outcome our study showed that 60% babies had good Apgar score (1 minute) whereas 90% had good Apgar score (5 minutes), 63% had birth weight 2-2.4 kg,14% babies got SNCU admission, 11% babies had congenital anomaly and 6% neonatal death occurred. Due to intrapartum complication and high rate of perinatal morbidity and mortality, rates of caesarean section are rising, but we feel that decision between vaginal delivery and caesarean section should be well balanced so that unnecessary maternal morbidity can be prevented and on the other side timely intervention can reduce perinatal morbidity and mortality.