Objective：To observe the clinical effect of Shenqi Jiangtang granules combined with western therapy for type 2 diabetes and its effect on glucose metabolism，lipid metabolism and insulin resistance of patients.Methods：Divided 96 patients with type 2 diabetes of qi-yin deficiency type into the observation group and the control group randomly，48 cases in each group.Both groups receivedroutine treatment，while the observation group additionally received Shenqi Jiangtang granules.Both groups received treatment for two months.Observed clinical effect，and compared changes of glucose metabolism indexes such as fasting blood glucose(FBG)， postprandial 2h blood glucose(P2hBG)， glycosylated hemoglobin(HbA1c)，fasting insulin(FIns)and insulin resistance index(HOMA-IR)，lipid metabolism indexes such as triglycerides(TG)，total cholesterol(TC)，low density lipoprotein cholesterol(LDL-C)and high density lipoprotein cholesterol(HDL-C)as well as insulin resistance.Results：After two courses of treatment，the total effective rate was 91.67%in the observation group and was 70.83%in the control group，the difference being signifcant(P＜0.05).Levels of TG，TC and LDL-C in both groups were lower than those before treatment，HDL-C levels were higher than those before treatment，differences being significant(P＜0.05).Levels of TG，TC and LDL-C in the observation group were lower than those in the control group，HDL-C levels in the observation group were higher than those in the control group(P＜0.05).Levels of FBG，P2hBG，HbA1c，FIns and HOMA-IR in both groups were lower than those before treatment(P＜0.05)，scores of the indexes in the observation group were lower than those in the control group(P＜0.05).Conclusion：Shenqi Jiangtang granules combined with western therapy has significant efficacy in treating patients with type 2 diabetes，which can effectively regulate glucose metabolism and lipid metabolism of patients，improve insulin resistance and essentially relieve clinical symptoms of patients with diabetes.