A power transmission system of a marine propulsion system includes a transmission arranged to change the speed of an output from an engine and then to transmit the output to a propeller shaft. Wet-type multi-plate clutches provided in the transmission include a plurality of clutch plates fitted to a clutch rotating body for axial movement with the clutch rotating body. The clutch rotating body includes an oil reservoir in its inner bottom portion and arranged to hold lubricating oil and a peripheral wall arranged to cover the oil reservoir from the radial outside and fit to each of the clutch plates to permit axial movement of the clutch plates. Communicating holes are arranged on the peripheral wall such that they communicate the oil reservoir side to the outside of the clutch rotating body in the radial direction. The above arrangement provides an engine wherein, even at startup of the engine in the marine propulsion system, each clutch plate of the wet-type multi-plate clutch in the power transmission system is sufficiently lubricated.