Rheumatoid arthritis (RA) is a chronic inflammatory disorder characterized by synovial inflammation, joint destruction, and systemic complications. The management of RA often involves the use of anti-inflammatory and anti-arthritic agents. One natural compound 3-Acetyl-11-keto-β-boswellic acid (AKBA) showed promising therapeutic potential in RA conditions, however, the clinical application of AKBA is hindered by its poor solubility and permeability. Therefore, we aimed to develop an effective AKBA delivery system for the application in RA. We developed a novel hyaluronic acid-based dissolvable microneedle loaded with AKBA. The direct loading of AKBA was challenging due to its poor solubility. Therefore, AKBA was loaded into lipidic nanoparticles (AKBA-LNP) to ensure the uniformity of drug loading in microneedles (AKBA-LNP-DMN), which provides localized delivery at the site. The microneedles were prepared using a micro-molding method and characterized in terms of morphology, strength, dissolution, skin permeation, pharmacokinetics, and therapeutic efficacy in the RA animal model. The microneedle had sufficient mechanical strength to penetrate skin layers. The DMN showed 4.8-fold higher drug permeation and 3.4-fold higher dermal delivery compared to AKBA cream. The pharmacokinetics of AKBA-LNP-DMN showed a higher Cmax and AUC0-24 than the AKBA-Oral group. Furthermore, in the arthritis model, the AKBA-LNP-DMN showed a significant reduction in paw volume, paw thickness, and levels of inflammatory cytokines. In conclusion, the AKBA-LNP-DMN demonstrated potential for site-specific, targeted delivery with reduced drug dose and frequency of administration. This can potentially provide enhanced therapeutic efficacy, improved patient compliance, and reduce the need for high-dose oral administration.