Background: This study was conducted for the evaluation of MRI changes in Brain of newborns with Hypoxic-Ischemic Encephalopathy clinical stage I, II and III. Material and methods: This descriptive, open, comparative study was conducted on 75 term newborns to evaluate various MRI changes seen in brain of term newborns with hypoxic ischemic encephalopathy within first 2 weeks as well as to evaluate if there is any stage specific MRI changes in brain of term newborns with hypoxic ischemic encephalopathy clinical stage I, II, III within first 2 weeks. The study was conducted on 75 newborns delivered at Obstetrics and Gynecological department of Rajindra Hospital, Patiala and admitted to Neonatology section of Department of Pediatrics with birth asphyxia. Three groups of newborns with each group consisting of 25 newborns of HIE clinical stage I, II and III were evaluated for MRI changes. The data was recorded on the proforma and were subjected to statistical analysis. Three groups of term newborns were evaluated for MRI changes Group-1 consisted of 25 newborns, delivered with perinatal asphyxia and having HIE stage I Group-2 consisted of 25 newborns, delivered with perinatal asphyxia and having HIE stage II Group-3 consisted of 25 newborns, delivered with perinatal asphyxia and having HIE stage III. Results: Mean maternal age among the subjects of Group 1, Group 2 and Group 3 was found to be 28.16 years, 27.68 years and 27.12 years. Mean maternal age of all the study groups was comparable. 64 percent of the patients (16 patients) of Group 1, 56 percent of the patients (14 patients) of Group 2 and 68 percent of the patients (17 patients) of Group 3 were males while the remaining were females. Gender-wise distribution of patients of all the three study groups was comparable. Mean gestational age among the patients of Group 1, Group 2 and Group 3 was found to be 39.60 weeks, 39.28 weeks and 39.32 weeks respectively In 56 percent of the patients (14 patients) of Group 1, 68 percent of the patients (17 patients) of Group 2 and 60 percent of the patients (15 patients) of Group 3, mode of delivery was Caesarean while in the remaining cases, mode of delivery was vaginal. Conclusion: MRI is a useful modality to assess the early changes noted in HIE. Bilateral basal ganglia and/or bilateral thalami lesions were the predominant finding in stage 3 HIE while Periventricular leukomalacia was the predominant finding in stage 2 HIE. The clinical diagnosis of birth asphyxia, along with the closely related conditions of hypoxic ischemic encephalopathy is recognized as an important cause of morbidity and mortality in newborns. Early diagnosis helps in management, prognosis and also in counselling the parents.