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In an era of advanced computer technology world where innumerable services such as access to bank accounts, or access to secured data or entry to some national important organizations require authentication of genuine individual. Among all biometric personal identification systems, fingerprint recognition system is most accurate and economical technology. In this paper we have proposed fingerprint recognition system using Local Walsh Hadamard Transform (LWHT) with Phase Magnitude Histograms (PMHs) for feature extraction. Fingerprints display oriented texture-like patterns. Gabor filters have the property of capturing global and local texture information from blur or unclear images and filter bank provides the orientation features which are robust to image distortion and rotation. The LWHT algorithm is compared with other two approaches viz., Gabor Coefficients and Directional Features. The three methods are compared using FVC 2006 Finger print database images. It is found from the observation that the values of TSR, FAR and FRR have improved results compared to existing algorithm.