Nanofluid is considered to be a new generation heat transfer medium which has attracted significant attention from the research community for the past two decades due to its reported high effectiveness in various heat transfer applications. Dispersed solid nanoparticles with enhanced thermal conductivity in base fluid possess substantial competence in augmenting thermal performance at the expense of moderate pumping power. This inclusive study elaborates the impact of nanofluids on thermo-hydraulic performance of thermal devices in order to ensure the appropriate selection and implementation of nanofluids in various engineering thermal devices. Inclusion of nanofluid as heat transfer fluid in various systems requiring high heat transfer rate e.g. solar thermal conversion systems, HVAC systems, electronic equipment, heat exchangers, nuclear reactors have imparted greater role in reducing negative impacts of climate change. The influence of size, concentration, type and shape of nanoparticles, working temperature, compound passive techniques and magnetic field effect on heat transfer and pressure drop performance of nanofluids are extensively discussed along with the drawbacks of nanofluids such as formation of fouling on heat transfer surfaces. This comprehensive review will be beneficial for engineers, researchers, and academics to commend the significance of various nanofluids and comprehend their remarkable impact on various heat transfer applications.