Ayu is the state of union of four components namely the body, sensory and motor faculties, mind and soul. So perception of jnana or knowledge is considered as the lakshana of mind. For cognition mind should be sequentially connected with the receptors of information. Ayurveda has given equal importance to mind or mental faculties along with the physical faculties in the aspects of etiology, premonitory symptoms and also in the case of treatment. Most of the Ayurvedic Psychiatry is dealt in one of the eight branches of Ayurveda called “Bhutavidya”. It is described as the branch which lays down incantation and mode of exorcising, evil spirits and making offerings to God, Demon, Gandharva, Yaksha, Rakshasa, etc for cure of disease originating from their malignant influence. Apart from the Ayurvedic classics we can get rich descriptions regarding different psychological techniques from Indian Scriptures and Upanishads. Eg: Mahabharatha, Yogavasista, Upanishadas and in Panchatatntra. Central council for Research in Ayurvedic Sciences (CCRAS) has started separate unit for Ayurvedic psychiatry at NIMHANS, Bangalore in 1971 for research in psychiatry and neurological disorders. Separate paper on Manasikaroga or Indian psychiatry is introduced into the curriculum of BAMS course and CCIM started Post-Graduate course in Manasa Roga in in different institutions of India. Many private manufactures began to prepare single herb medicines and different formulations which are described in classical Ayurvedic texts for growing mental disorders. Many of the scholars in Ayurveda tried to interpret the terms used in Ayurvedic Psychiatry with the light of modern medicine in their books.