The basic benefit of eco economic forest with soil and water conservation function is very obvious in loess hilly gully area of Liangcheng county. It shows: postponing time of emerging runoff, decreasing runoff volume, conserving water, cushioning rain strength, decreasing surface soil erosion, increasing the effectives of rainfall and so on. It has improved local eco environment and got better ecological, social and economic benefits. The basic benefit of eco economic forest with soil and water conservation function is discussed. Its aim is to provide the scientific bases for further rational utilization of suitable forest land in the county, and also to provide useful reference for loess area with soil and water loss.