Lactoferrin loaded poly (epsilon-caprolactone) nanofibers were fabricated using the process of electrospinning and the osteo-compatibility of the scaffolds were evaluated using MC3T3-E1 osteoblast-like cells. Morphology of rhLF/PCL scaffolds was determined by scanning electron microscopy. Fourier transform infrared spectroscopy and Energy-dispersive X-ray spectroscopy confirmed the incorporation of rhLF in the PCL nanofibers. The surface distribution of rhLF on the nanofibers was evaluated using fluorescently tagged (Far-red) rhLF. The presence of rhLF on rhLF/PCL nanofibers significantly increased the proliferation and viability of MC3T3-E1 cells compared to cells seeded on PCL nanofibers as evidenced from Ki67 immuno-staining and MTT assay. The study demonstrated the feasibility of incorporating different concentrations of rhLF in PCL nanofibers and the potential of the fiber matrix to support osteoblast cell functions.