Background-Earlier studies have shown that anemia in heart failure (HF) patients decreases exercise tolerance/capacity, functional status and quality of life. We studied the effect of oral iron supplementation in anemic patients with HF. Methods -We assigned 60 anemic (Hb 8-11g/dl) patients with HF (NYHA class II&III) with LVEF <40% in to 2 groups. Group-I-received ferrous sulfate 100mg bid x 90 days +standard treatment for HF. Group-II-received standard treatment for HF. Primary end points of the study were exercise tolerance(6-min walk distance), quality of life(MLHFQ ) and haematological parameters. Secondary end points-Borg scale for dyspnoea and fatigue efficacy , safety assessment and few haematological parameters. Results-There was significant improvement in exercise tolerance/ capacity and quality of life in iron treated patients as compared to control group (group -II). Dyspnoea and fatigue were reduced . Haematological parameters(Hb, RC, MCV, MCH, MCHC PCV &RBC count) increased gradually in iron treated patients with HF as compared to control group. However, incidence of microcytic-hypochromic anemia was reduced in group -I. Orally administered iron was well tolerated with mild side effects in anemic patients with HF. Conclusion-Oral iron supplementation in HF patients with anemia improves exercise tolerance/capacity, quality of life, dyspnoea , fatigue and various haematological parameters.