The invention relates to the technical field of medical drugs, in particular to a medical biological dressing with anti-bacterial and hemostatic effects and a preparation method thereof. The medical biological dressing is made of the raw materials, by weight, 12-16 parts of herba tripterospermi, 10-14 parts of myrobalan, 7-11 parts of eucalyptus robusta, 6-10 parts of sarcandra glabra, 15-20 partsof fructus rhodomyrti, 8-13 parts of fimbriae orostachys, 11-16 parts of cuttlebone, 7-12 parts of rhizoma imperatae, 5-9 parts of common cephalanoplos herb, 6-9 parts of sodium alginate, 7-10 partsof chitosan, 10-14 parts of glycerinum, 4-6 parts of thickening agents, 3-5parts of wetting agents, 5-8 parts of hyaluronic acid and 40-55 parts of deionized water. The prepared medical biological dressing has good anti-bacterial effect and remarkable effects of stopping bleeding, removing stasis and improving eyesight; and in addition, the prepared medical biological dressing further has good bactericidal performance, can reduce the chance of wound infection by bacteria and reduce the chance of wound cross infection.