Systemic fungal infection has increasingly become a significant problemin preterm infants cared for in the neonatal intensive care unit (NICU).Colonization with Candida has been identified as the major risk factorand the first step in development of candidaemia. The NICU babiesbecome colonized very early as about 10% of these babies get colonized inthe first week of life and up to 64% of them get colonized by 4th week ofhospital stay. The gastrointestinal tract is the first to become colonizedthrough multiple sites and skin also may be involved.Aim of the work: The purpose of the study was to determine colonizationof Candida species in preterm babies and to identify its risk factors.Patients and methods:The study was carried out at neonatal intensive care units in childrenhospital, Cairo University and included 50 preterm neonates (<37 weeks).All included cases were subjected to taking history, examination andlaboratory assessment. Swabs from the oral cavity, rectum, groin andumbilicus were taken on admission and after one week. Cultures onSabouraud dextrose agar (SDA) were done for 24 hours and Candidaspecies were identified using API (Biomerieux, France).Results: The overall Candida colonization rate was 42%, Candida albicanswas the commonest species. Identified risk factors were low birth weight,multifetal pregnancy, delayed admission, bacterial sepsis andadministration of vancomycin. Conclusion: Candida colonization is increasing in preterm neonatesespecially very low birth weight( <1.5 kg) with attention to its risk factors.