Background: This study examined the hypoglycemic and kidney protective effect of black ginseng in streptozotocin-induced diabetic mice. Methods and Results: Diabetes was induced by treating mice with streptozotocin (STZ) for four weeks. In vivo studies were performed in order to investigate the hypoglycemic effect of the black ginseng prosapogenin (GBG05-FF) extract. The body weight and blood glucose level were measured. Moreover, after the mice were sacrificed, the kidneys were isolated and histological changes were observed with hematoxylin and eosin staining. Blood urea nitrogen and creatinine levels were also measured. The results showed that administration of black ginseng increased body weight. Compared to blood glucose levels in STZ mice, blood glucose levels were reduced by 48% in STZ mice supplemented with 300 ㎎/㎏ of black ginseng, and by 69% in STZ mice supplemented with 900 ㎎/㎏. Furthermore, histopathological examination of STZ mouse kidneys revealed, changes in the kidneys, epithelial cell damages, inflammatory cell infiltration and glomerulus hypertrophy. However, a significant reduction of glomerular water droplets (indicative of glomerulus hypertrophy) was observed in the kidneys of STZ mice supplemented with black ginseng extract. Conclusions: These results suggest that black prosapogenin (GBG05-FF) ginseng extract has a significant hypoglycemic effect and can be used as an anti-diabetic substance and renal protective agents as part of dietary supplements or novel drugs.