A fine magnetic powder suitable for magnetic tape capable of high-density magnetic recording is provided that helps to prevent degradation of tape surface property and durability with increasing fineness of the magnetic powder particles, which magnetic powder consists of particles composed chiefly of Fe whose surface layer contains an oxide of at least one of Al, Si and Ra (where Ra represents one or more rare earth elements, defined as including Y), has an average particle diameter of less than 70 nm, the number of basic sites on the particle surface of not greater than 0.85 sites/nm2, and the number of acid sites on the particle surface of not greater than 0.75 sites/nm2.