A reluctance type rotating machine includes a stator having armature windings arranged on an inner periphery of the stator, a rotor having projection portion forming magnetic poles, and a plurality of permanent magnets arranged on both side faces of the projection portions. Owing to the provision of the permanent magnets, it is possible to restrain magnetic fluxes of the armature windings of the stator from leaking toward interpole portions between the magnetic poles. The power output of the machine can be improved by increased effective fluxes.