This work deals with the formulation of ocular niosomal in-situ gel of Ketorolac tromethamine for improved bioavailability. Ketorolac tromethamine loaded niosomes were prepared by thin film hydration method using cholesterol and different surfactants. Niosomal in-situ gel was prepared using HPMC (K15M) and Carbopol (934P) to maintain the drug localization for extended period of time. The niosomes formulations were characterized for vesicle size, entrapment efficiency and in-vitro release and niosomal in-situ gel were evaluated for visual appearance, clarity, pH measurement, drug content measurement, rheological study, and stability testing. Niosomal vesicles were discrete and spherical in shape, 2.09µm-5.59µm in size, 19.32%-53.06% entrapment efficiency and showed sustained release behavior. The formulation F10 shows the highest entrapment efficiency with 53.06%. Drug loaded niosomal in-situ gel sustained the drug release (71.74%-86.20%) for 24 hours. The mechanism of drug release was non-Fickian diffusion controlled first order kinetics for niosomal in-situ gel formulation. Stability study indicated that the prepared niosomal in- situ gel remained more stable at refrigeration (4-8˚C) and room temperature (25±2˚C) as compared to (45±2˚C) in humidity control oven for 3 months. FT-IR and DSC studies revealed the integrity of the drug in the formulations. Thus, the present study conclusively demonstrates the feasibility of effectively formulating Ketorolac tromethamine niosomal in situ gels which are capable of releasing the drug for extended periods of time.