ZnO was prepared by hydrothermal method. The result of scanning electron microscopy showed that the materials had nano rod structures. Ag-doped ZnO was prepared by UV-photoreduction. Crystalline phases and optical absorption of the prepared Ag-doped ZnO samples were determined by X-ray diffraction, Raman spectrum, UV-visible, and UV- photoreduction spectrophotometer. X-ray analyses revealed that Ag was doped ZnO crystallizes in hexagonal wurtzite structure. The incorporation of Ag+ in the site of Zn2+ provoked an increase in the size of nanocrystals as compared to pure ZnO. The photocatalytic and photoluminescence properties of materials were considered.