This study examined the effects of 2% Lycii fructus powder (LFP) supplementation on lipid metabolism in rats. Male Sprague-Dawley rats were administered 1% cholesterol and 0.25% sodium cholate to induce hypercholesterolemia. Then, 40 rats were divided into four diet groups: a normal diet group (NC), high cholesterol diet group (HC), normal diet plus 2% Lycii fructus powder (NC-LFP) group, and high cholesterol diet plus 2% Lycii fructus powder (HC-LFP) group. The HC group presented higher growth rates and liver weights than NC and NC-LFP however, growth rates and liver weights in the 2% LFP administered groups gradually decreased. HC also showed increased serum triglyceride, total cholesterol, free cholesterol, and LDL-cholesterol levels and decreased atherogenic index values, HDL-cholesterol, and phospholipid levels, whereas LFP group showed decreased serum triglyceride, total cholesterol, free cholesterol, and LDL-cholesterol levels as compared to HC. There were no differences in serum triglyceride, phospholipid, LDL-cholesterol, HDL-cholesterol, and free cholesterol concentrations between the normal diet groups (NC and NC-LFP). The high cholesterol diet groups (HC and HC-LFP) had significant increases in serum alanine aminotransferase (ALT), asparate aminotransferase (AST), alkaline phosphatase (ALP), and lactate dehydrogenase (LDHase) activities. And the 2% LFP administered groups had lower hepatic concentrations of total cholesterol and triglycerides than the HC groups. Overall, the results suggest that Lycii fructus powder has hypochloesterolemic effects by reducing serum and liver cholesterol contents.