With the increasing prevalence of diabetes and the economic burden caused by its treatment, people seek alternative medicine. Costus pictus D Don, belonging to the family Costaceae, commonly called Insulin plant/spiral ginger, is preferred by many in recent days. The current study was carried out to determine the effect of methanolic leaf extract of Costus pictus D Don on the pancreas of diabetic-induced albino Wistar rats. Methanolic extract from C.pictus was prepared by soxhalation. The effect of this extract at the dose of 100 mg and 200 mg/kg bw was studied biochemically on blood glucose and blood insulin levels. Histological and histo-morphological observations were studied on the pancreas after 21 days of treatment. The parameters were compared with diabetic and normal rats. Glucose-lowering effect of the plant extract was observed biochemically in diabetic animals treated with both doses of the extracts. It was observed that the effect was more pronounced with 200 mg/kg BW of the extract. The presence of hyperchromic islet cells, granulated beta cells, increase in diameter of islets and number of beta cells as observed by histological examination and histo-morphometric analysis revealed the pancreatic beta cell regenerative property of Costus pictus D Don.