Abstract: Nano sized zirconium dioxide in monoclinic phase (m-ZrO2) has been synthesized in pure form through co-precipitation processing at different calcination temperatures and has been characterized by several techniques such as XRD, FT-IR, UV-Vis Spectroscopy and SEM. The dielectric and capacitance values of the pelletized samples have been examined at room temperature as the functions of frequency. The higher dielectric constant value of the sample having larger grain size proves the strong influence of grain size on the dielectric constant.