Abstract: Background and Objective: Lupinus albus contains ingredients that possess a variety of health enhancing effects including anti-diabetic effects. Therefore, the objective of this study was to evaluate the anti-diabetic and anti-hyperlipidemic effect of Lupinus albus dry extract on diabetic patients. Materials and Methods: In a double-blinded, placebo controlled, randomized trial, a total of 97 type 2 diabetics randomly were assigned to Lupinus albus or placebo group, received 400 mg day–1 of Lupinus albus dry extract supplement or placebo for 12 weeks. Serum glucose and insulin were measured periodically for 2 h following the meal test at base line (without lupine) at 2 and 12 weeks (with lupine). A chi-square test was performed to determine differences at base line in frequencies of categorized variables between the groups. Paired t-test was used to compare mean of normal distribution variables in the two groups before and after the intervention and student t test was used to compare the mean of variables between the two groups. Results: Lupinus albus supplementation significantly reduced the levels of fasting and post-prandial glucose at 2 and 12 weeks in the intervention group in comparison to base line as well as placebo group. There was a consistently significant improvement in the glucose area under the curve in the intervention group. Administration of Lupinus albus dry extract supplement had no significant effect on improving the insulin level. Homeostasis model assessment insulin resistance index was significantly lower at 2 weeks (p<0.05) and it was very significantly lower at 12 weeks (p<0.01). Glycated haemoglobin, total cholesterol and triglycerides were decreased in the intervention group in comparison to base line (p<0.001, p<0.001 and p<0.05, respectively), as well as the placebo group (p<0.001, p<0.001 and p<0.01 respectively). Conclusion: This study suggests that the Lupinus albus has a beneficial effect in controlling diabetes by reducing fasting and post-prandial glucose and enhancing insulin sensitivity. The results of this study indicate that Lupinus albus might be a beneficial adjuvant to oral hypoglycemic agents in type 2 diabetic patients.