Introduction: Drug-induced movement disorder is one of the major complications among patients undergoing antipsychotic drug therapy. Objective: The study aims to assess the antipsychotic drugs induced movement disorders in hospitalized patients with psychiatric disorders. Methods: A prospective observational study was carried out in a tertiary care teaching hospital for eight months. A total of 110 patients diagnosed with various psychiatric disorders and prescribed antipsychotic drugs were enrolled in the study. The movement disorders identified were documented and evaluated for causality assessment by using Naranjo__ampersandsignrsquo;s Algorithm and WHO Probability Scale. Severity was assessed by Modified Hartwig and Siegel scale and preventability was assessed by using Modified Schumock and Thornton__ampersandsignrsquo;s criteria. Data were analyzed by applying descriptive statistics. Results: Out of 110 patients followed, 25 patients developed 25 incidents of movement disorders. It was found more among male patients. The incidence of Parkinsonism (40%) was higher and was then followed by akathisia (32%), dystonia (24%) and tardive dyskinesia (4%). Causality assessment reported the majority of adverse drug reactions (ADRs) as __ampersandsignlsquo;possible__ampersandsignrsquo;. The severity assessment showed that 76% of the ADRs were moderately severe and 24% were mild reactions. The majority of the reactions were found probably preventable. Conclusion: Antipsychotics are one of the major choices of drugs among psychiatric patients and they, in turn, can cause several adverse outcomes that can lead to a need for a modified therapeutic approach. Proper monitoring can prevent some possible and predictable adverse reactions.