In this thesis, blood flow in pulsating atherosclerotic blood vessel is simulated numerically using the smoothed particle hydrodynamics method. The smoothed particle hydrodynamics method is a meshfree particle method to numerically simulate fluid flows. We improve the boundary model of arterial wall deformation together with the inlet and outlet boundary conditions to form a two-dimensional model of a stenosed pulsating artery. We also apply the concept of smoothed particle hydrodynamics to create a non-penetrating condition at the arterial wall as well as maintaining a stable flow in the interior. We run the simulation with 7600 fluid particles and 1602 boundary particles. The results show that the flow in a pulsating artery is pulsatile, and the pressures of the particles at the narrowed part are higher than the nonpulsating stenosed artery case.