Groundnut is a highly self-pollinated crop, grown successfully in tropical and subtropical areas. The crop has narrow genetic base therefore, it is essential to create more variability in the segregating materials. Hence, in present investigation an attempt was made to assess the variability of important yield and yield contributing traits which will facilitate an understanding behind expression of character and also role of environment therein. High PCV and GCV values for kernel yield per plant, pod yield per plant, number of pods per plant, 100-pod weight, 100kernel weight, shell weight and rust score in all backcross population revealed that the variation for these characters contributed markedly to the total variability and there was enough scope for selection based on these characters. Similarly, high values were noticed in all the backcross populations for kernel yield per plant, pod yield per plant, number of pods per plant, 100-pod weight, 100-kernel weight, shell weight, shelling percentage and late leaf spot score exhibited that these characters were mainly controlled by additive genes and selection of such traits might be effective for the improvement of groundnut. Thus, results clearly indicating that the presence of wide spectrum of genetic variation for the characters viz., kernel yield per plant, pod yield per plant, plant height, number of pods per plant, 100-pod weight, 100-kernel weight, shell weight, shelling percentage, late leaf spot and rust score suggesting that they respond to selection with greater efficiency for improvement of pod yield and kernel yield coupled with resistance to foliar diseases in groundnut.