Abstract: An inverse stochastic boundary element method is presented for determination of residual stresses and contact stresses. The improved filter algorithm is developed into stochastic boundary element. From the stochastic strain distribution at some internal points, the analytical sensitivity matrix of boundary element method and the analytical observed matrix are constructed, which make it possible to predict the distributions of stochastic residual stresses, stochastic contact stresses and structural reliability on boundary. Two numerical examples are provided to show the effectiveness of the present work.