Pomegranate peel, derived from the processing of Punica granatum L. (pomegranate), has traditionally been considered agricultural waste. However, recent studies have revealed its potential as a rich source of bioactive compounds with diverse pharmacological effects. Pomegranate peel is a rich reservoir of antioxidants, polyphenols, dietary fiber, and vitamins, which contribute to its remarkable bioactivity. Studies have demonstrated the anti-inflammatory, cardioprotective, wound healing, anticancer, and antimicrobial properties of pomegranate peel owing to the presence of phytochemicals, such as gallic acid, ellagic acid, and punicalagin. The extraction of bioactive compounds from pomegranate peel requires a careful selection of techniques to maximize the yield and quality. Green extraction methods, including pressurized liquid extraction (PLE), ultrasound-assisted extraction (UAE), microwave-assisted extraction (MAE), and enzyme-assisted extraction (EAE), offer efficient and sustainable alternatives to traditional methods. Furthermore, pomegranate peel has been utilized in the food industry, where it can significantly enhance the nutritional value, organoleptic characteristics, and shelf life of food products. Pomegranate peel has the potential to be used to develop innovative functional foods, nutraceuticals, and other valueadded products, providing new opportunities for the pharmaceutical, cosmetic, and food industries.