Reaction of amides with NaBH4-I2 system in THF gives the corresponding amines in 70-76% yields. Reduction of nitriles yields the corresponding amines in 70-75% yields. The I2/NaBH4 system is useful in the hydroboration of olefins and the corresponding alcohols are obtained in 78-92% yields after H2O2/OH- oxidation. The reagent system is also useful for the reduction of carboxylic esters and acids to the corresponding alcohols in 60-90% yields.