The invention discloses a Chinese medicinal preparation for treating hydrocephalus, belonging to the field of Chinese medicaments. The Chinese medicinal preparation consist of the following active ingredients of the raw materials: angelica root, agaric, kudzu root, fructus lycii, tree peony bark, chamomile, scutellaria root, peach kernel, costus root, ephedra, salsola collina, mulberry, cassia bark, polygonum cuspidatum, storax and radix sophorae flavescentis. The Chinese medicinal preparation has the effects of clearing away heat, reducing fire, clearing damp, promoting diuresis, eliminating phlegm for resuscitation, soothing nerves and promoting intelligence, has significant curative effects on intracranial hypertension caused by hydrocephalus, bilateral tempora or full skull pains, nausea, cephaledema or optic atrophy and the like, has good treatment effects on the symptoms including disorders of mental development, dyskinesia, psychonosema, forgetfulness and the like, is short in treatment course, quick in response and low in cost, does not have any toxic or side effect and is worthy of clinical wide popularization and application.