The effect of Andrographis Paniculata extract was studied on ethanol induced hepatic damage in rats.Treatment with aqueous extract of A.Paniculata (50mg/kg,100mg/kg,200mg/kg body weight)was found to protect the rat from hepato-toxin action of ethanol an evidenced significant reduction in the elevated serum transaminase levels.Histopathological studies showed marked reduction in fatty degeneration and centrizonal necrosis in animals receiving different doses of A.Paniculata along with ethanol as compared to the control group. The rat administered silymarin(50mg/kg) used for comparative evaluation, showed a significant reduction in serum enzyme activity and normal liver.It is stipulated that the extract treated groups were partially protected from hepatocelur damage caused by ethanol.