A fibrous scaffold of curdlan/poly(vinyl alcohol) (PVA) blend is prepared by electrospinning technique and antimicrobial property is imparted to it by the addition of silver nitrate (1, 3, and 5 wt%). All the scaffolds except the PVA/curdlan with 5 wt% AgNO3 show good viability of Swiss 3T3 fibroblast cells. Significant reductions in the growth of Staphylococcus aureus and Escherichia coli are also observed in all the scaffolds. In vitro scratch assay and cell adhesion studies indicate that the scaffold containing 1% AgNO3 shows significant wound healing and better cell spreading. The in vivo results also show faster healing of excision wounds in diabetic rats treated with the same material when compared to the control and the commercial sample. Furthermore, downregulation of proinflammatory cytokines and upregulation of anti-inflammatory cytokines on the skin of the treated animals confirm that PVA/curdlan/1% AgNO3 electrospun mat could be a promising material for diabetic wound healing.