Aim: The objective of this study was to determine the prevalence of anxiety co-morbidity and its association with schizophrenic symptom severity and quality of life in individuals with schizophrenia. Methodology: This study was cross-sectional in design and was conducted at the out-patient clinic of Federal Neuro-Psychiatric Hospital, Yaba, Lagos. The subjects consisted of 84 consecutive individuals diagnosed with schizophrenia, attending the out-patient clinic for the first time, gave consent to participate and fulfilled the inclusion criteria for the study. The Structured Clinical Interview for DSM IV Disorders (SCID) was used to confirm the diagnosis of schizophrenia, and to determine the presence of anxiety disorder in all the participants. The Positive and Negative Symptom Scale (PANSS) and WHOQOL-BREF were used to assess the severity of symptoms and the subjective quality of life, respectively. Data were analyzed using the SPSS version 16: Chi-square test was used for categorical variables, t-test and pearson’s correlation for the continuous variables, and binary logistic regression to determine the possible predictors of anxiety co-morbidity. Results: More than half of the participants were females 46(54.8%), single 51(60.7%), unemployed (57.1%), had a minimum of secondary school education; and their ages ranged from 19-52years (mean 33.51;SD 8.99). About thirty percent 25(29.8%) of the participants had co-morbid anxiety disorder. Social phobia (11.9%) was the most common anxiety disorder, Panic disorder and Generalized anxiety disorder had a prevalence of 5.95% each and Specific phobia (1.2%). About 70% of the participants had no anxiety co-morbidity . xv The female participants were significantly more likely to have co-morbid anxiety disorder than the males (p= 0.011). Participants with co-morbid anxiety disorder were significantly more likely to have prominent positive symptoms (p=0.014) and severe general psychopathology (p=0.020)). In all the domains of the WHOQOL-Bref, participants with anxiety co-morbidity had a lower quality of life. The presence of anxiety disorder in the participants was also significantly asssociated with a lower quality of life (p= 0.018). In this study, participants with co-morbid anxiety disorder and prominent symptoms of schizophrenia had significantly lower quality of life (p<0.05). Conclusion: The prevalence of anxiety co-morbidity in individuals with schizophrenia is about 30%; this results in a lower quality of life and is associated with severe symptoms of schizophrenia. The findings of this study emphasize the importance of determining co-morbid conditions, especially anxiety disorder in individuals with schizophrenia. Attention to anxiety co-morbidity in people with schizophrenia could improve the overall management and treatment outcome