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This study investigates the relationship between medical tourism and city branding as the main purpose. To this end, two measurement scales (questionnaires) were designed and validated. The data obtained through the questionnaires was analyzed using descriptive statistics, exploratory and confirmatory factor analyses as well as structural equation modeling via SPSS and LISREL. The study was done in the city of Shiraz which is a famous tourist destination worldwide and has high capacities in medical tourism as well. Participants included scholars and managerial staff in the fields of medical tourism and city branding. The results confirmed that the four underlying factors of medical tourism include medical facilities and services, doctors and staff, tourism factors and costs. Furthermore, city branding was confirmed to be comprised of three underlying factors including place and facilities, opportunities, and residents and culture. Finally, according to the findings from Structural Equation Modelling (SEM) method of assessment branding in shiraz it was found that medical tourism affects directly on city branding.