Progressive hemolytic jaundice is conventionally treated with phototherapy and exchange transfusion. Recent studies have demonstrated that the use of intravenous immunoglobulins is promising in its management. In Our study 40 neonates with neonatal jaundice due to ABO and Rh incompatibility were studied. They were divided into 2 groups; one treated with immunoglobulins and other treated with exchange .We concluded that immunoglobulins decreases the level of serum bilirubin as exchange transfusion and in addition it shortens the period of hospitalization and phototherapy with no side effects detected.