In a continuing screening of selected medicinal plants native to Mongolia, the antioxidant and α-glucosidase inhibitory activities of methanol extract of Iris bungei were investigated. After extraction with 80% of methanol, the methanol fraction was further extracted with n-hexane, EtOAc and n-BuOH in order to obtain four different solvent-soluble fractions, namely n-hexane-soluble, EtOAc-soluble, n-BuOH-soluble and H2O residue. The antioxidant properties were evaluated by radical scavenging assay using 1,1-diphenyl-2-picrylhydrazyl (DPPH) and 2,2’-azino-bis (3-ethylbenzothiazoline-6-sulphonic acid) (ABTS+) radicals. The anti-diabetic efficacy of I. bungei extract was investigated by α-glucosidase assay. All tested samples showed dose-dependent radical scavenging and α-glucosidase inhibitory activities. Among the tested extracts, the EtOAc-soluble fractions showed the greatest radical scavenging activity and α-glucosidase inhibitory properties among other solvent-soluble fractions. This result suggested that there was a significant relationship between the total phenolic content and biological efficacy. Thus, I. bungei extract might be considered as a new potential source of natural antioxidant and as a α-glucosidase inhibitory source. A more systematic investigation of this biomass sill be performed for further investigation of activity against antioxidative and anti-diabetic effects.