Basil (Ocimum basilicum) is a medicinal, ornamental and aromatic plant, however, its size can be an obstacle to its commercialization as a potted ornamental plant. Paclobutrazol (PBZ) is a substance that can retard plant growth by inhibiting the synthesis of gibberellins. The objective of this work was to evaluate the effect of paclobutrazol on growth regulation and gas exchange of basil (var. Cinnamon). The experiment was carried out in a completely randomized design with five treatments (PBZ doses: 0, 2.5, 5, 7.5 and 10 mg L-1), with eight replicates. Growth (plant height, number of leaves, stem diameter, leaf dry mass, stem dry mass, inflorescence dry mass, and total), growth rates (leaf mass ratio, stem mass ratio, inflorescence mass ratio, and robustness quotient), chlorophyll indices, gas exchange (gs, A, E, Ci, WUE, iWUE and iCE) were evaluated. Paclobutrazol reduced the growth of basil plants and increased the chlorophyll indices, A, gs, and WUE. Paclobutrazol can be used to regulate plant growth of basil plants var. Cinnamon, without altering its physiological and ornamental characteristics.