Objectives: To evaluate outcome of insertion of antibiotic impregnated shunt (AIS) catheter compared to non-AIS catheter for treatment hydrocephalus (HCP) in neonates. Patients & Methods: Prospective part of the study (Group A) included 50 neonates patients fulfilling the diagnostic criteria for HCP and assigned to receive AIS catheter. The retrospective part included 50 neonates patients age- and gender-matched patients underwent non-AIS catheter for treatment of HCP. Study outcomes included rates of catheter-related infection (CRI) and revision surgery (RS) for CRI. Results: Sixteen patients required RS for CRI; 3 in group A and 13 in group B with significantly lower frequency in group A. Frequency of patients required early RS was significantly lower (p