The present work describes the melt granulation technique to improve the solubility and dissolution characteristics of a poorly water-soluble drug Domperidone. Melt granulation technique is a process by which pharmaceutical powders are efficiently agglomerated by a meltable polymers and surfactants. The advantage of this technique as compared to a conventional granulation is that no water or organic solvents is needed. Because of bypassing drying step, the process is less time consuming and uses less energy than wet granulation. Granules were prepared by using hydrophilic polymer polyethylene glycol-6000, 4000 and Myrj- 52. The prepared granules were characterized using SEM, DSC and FTIR techniques. A significant enhancement in the solubility and in-vitro dissolution profiles of the melt granules was observed compared to the pure drug and marketed product. DSC results indicated change in internal energy of Domperidone with polymer and surfactant in the melted granules. In conclusion, the results of this work suggest that melt granulation is a useful technique to enhance the solubility and dissolution rate of poorly water-soluble drug like Domperidone.