It is an objective of the present invention to provide a highly sensitive optical pressure sensor that uses a Mach-Zehnder Interferometer to measure pressure. The pressure sensor comprises a deflectable diaphragm including a substantially central boss and channel and an optical waveguide having a first arm and a second arm, wherein the first arm is substantially aligned with an edge of the boss and the second arm is substantially aligned with an edge of the channel, and further wherein the first and second arms contain a periodic array of etched holes to improve the overall sensitivity of the pressure sensor. The pressure sensor further comprises a light source coupled to the optical waveguide for introducing light to the waveguide and a light detector coupled to the waveguide for detecting changes in the intensity of light. The change in light intensity is then correlated to an applied pressure.