An object is to provide a vehicle periphery monitoring device wherein distortions in a captured image containing an edge of the vehicle body can be corrected so that parallel perception is the same as in actual space, and wherein images readily discernible to the driver can be displayed. The edge of the vehicle body is included in the image captured by a camera provided to the vehicle. A Y-axis along the edge of the vehicle body and an X-axis orthogonal to the Y-axis are set in the captured image. Distortions are corrected so that the X-axis is enlarged at a magnification ratio γ that increases in a nonlinear fashion that depends of the distance from the X-axis while the Y-axis is kept substantially fixed. The captured image thus corrected for distortion is displayed on an onboard monitor.