Abstract： Objective： To observe the clinical effect on Guanjie Kebi Pills combined with arthroscopic minimally invasive surgery on knee osteoarthritis of cold-damp obstruction type. Methods： A total of 128 patients with knee osteoarthritis of cold-damp obstruction type who received treatment in the orthopedics department of Nanyang Central Hospital from September 2021 to July 2023 were selected as the research subjects. The patients were randomly divided into the observation group and the control group according to the random number table method， with 64 cases in each group. Both groups were treated with arthroscopic minimally invasive surgery，the control group was treated with Methotrexate Tablets after operation， and the observation group was treated with Guanjie Kebi Pills after operation. The scores of Hospital for Special Surgery (HSS)， World Health Organization Quality of Life- BREF (WHOQOL-BREF)， traditional Chinese medicine (TCM) syndromes，microcirculation function indicators [average velocity blood cell (AVBC)， concentration of moving blood cells(CMBC)， microvascular blood perfusion (MBP)， transcutaneous oxygen pressure (Tcp O2)]，and levels of inflammatory factors in serum [interleukin-6 (IL-6) and C-reactive protein(CRP)] before and after treatment， as well as the clinical effects were compared between the two groups. Results：After treatment，the total effective rate was 90.62% in the observation group， and 75.00% in the control group， the difference being significant (P＜0.05). After treatment， the scores of HSS and WHOQOL-BREF， and the levels of AVBC， CMBC， MBP， and Tcp O2 in the two groups were increased when compared with those before treatment (P＜0.05)，and the scores of HSS and WHOQOL-BREF，and microcirculation function indicators in the observation group were higher than those in the control group (P＜0.05). After treatment， the TCM syndrome scores and levels of IL-6 and CRP in serum in the two groups were decreased when compared with those before treatment (P＜0.05)，and the TCM syndrome score and levels of inflammatory factors in serum in the observation group were lower than those in the control group (P＜0.05). Conclusion： The combination of Guanjie Kebi Pills combined with arthroscopic minimally invasive surgery has a definite curative effect on knee osteoarthritis of cold-damp obstruction type， which can improve joint function and microcirculation in patients， and reduce inflammatory reactions.