Abstract: In the islanded AC microgrid,due to the unmatched line impedance among distributed generators（DG）,reasonable distributing reactive power according to droop gain is difficulty by using the traditional droop control. Therefore,an improved droop control method based on adaptive virtual impedance is proposed. In order to eliminate the unmatched line impedance and improve the sharing accuracy of reactive power of DG units,the virtual impedance is constructed by taking advantage of the output reactive power of DG units. Aiming at the voltage drop caused by virtual impedance,the voltage compensation method is proposed. Additionally,considering the frequency deviation problem,the integral term based on the deviation between the DG’s frequency and frequency reference value is constructed as the self-frequency recovery link,and the integral term based on the deviation between the DG’s output active power and the average active power of system is used as the frequency compensation link to realize the frequency adjustment without deviation. The average power can be obtained by using distributed consistency algorithm with local information. Finally,the effectiveness of the proposed strategy is verified through Matlab simulation and RTDS experimental.