A controlled clinical trial on 65 patients was performed to compare the effects of nifedipine and atenolol in diabetic and non-diabetic hypertensive patients. Patients were from 45 to 70 years in age. The diabetic hypertensive patients and non-diabetic essential hypertensive patients randomly received atenolol (50-100 mg per day) or nifedipine (10-20 mg per day) for 9 months. Both the drugs effectively controlled the blood pressure throughout the therapy. Atenolol treatment significantly increased triglyceride levels and decreased the HDL-cholesterol levels after 9 months in both groups. However, nifedipine therapy did not alter lipid levels to any significant extent. Both drugs did not alter blood glucose, serum creatinine and blood urea levels. It may be concluded from the present study that nifedipine is preferable to atenolol as it does not alter lipid profile to any significant extent in diabetic and non-diabetic hypertensive patients.