Perovskite-type ferromagnetic BiFeO3 nanopowder was readily synthesized via thermal decomposition of Bi[Fe(CN)6]·5H2O complex and characterized using thermal analysis (TGA/DSC), X-ray diffraction (XRD), Fourier-transformed infrared spectroscopy (FT–IR), scanning electron microscopy (SEM), transmission electron microscopy (TEM), energy-dispersive X-ray spectroscopy (EDX), magnetic measurement and Brunauer-Emmett–Teller (BET) specific surface area measurements. The magnetic measurements show a ferromagnetic behavior for the BiFeO3 nanoparticles at room temperature. This nanosized ferromagnetic oxide with an average particle size of approximately 20 nm and a specific surface area of 48.5 m2/g was used as a new magnetically recoverable heterogeneous nanocatalyst for the highly efficient and selective reduction of aromatic nitro compounds into their corresponding amines by using propan-2-ol as the hydrogen donor under microwave irradiation. This method is regio- and chemoselective, clean, inexpensive and compatible with the substrates having hydrogenlyzable or reducible functional groups. As compared with conventional heating, this method is very fast and suitable for the large-scale preparation of different substituted anilines as well as other arylamines. The catalyst can also be reused without loss of activity.