Introduction: Complications of diabetes mellitus include problems that develop rapidly (acute) or over time (chronic) and may affect many organ systems. Hence, the present study was carried to study to evaluate albuminuria (both micro and macro) in type2 diabetes and its association with kidney function and fundus changes. Material and Methods: The present analytical study was carried out among 100 diabetic patients who were enrolled in two groups; group A consisted of 50 diabetic patients with albuminuria and group- B comprised of 50 diabetics without albuminuria. A fasting sample of blood was drawn after an overnight fast of 10 hours and samples were collected in the early morning after an overnight fast for required investigations. Student’s t test was used to compare the means of continuous variables and X2 test was used to compare proportions. Results: Serum creatinine and blood urea values were found to be significantly higher in the group A compare to group-B (p value= <0.0001). Patients with albuminuria have a higher prevalence of NPDR and NPDR with maculopathy compared to those with normo-albuminuria. Specifically, 16% of patients with Group-A, (albuminuria) have NPDR compared to only 4% of patients with Group- B(normo-albuminuria). Similarly, 10% of patients with albuminuria have NPDR with maculopathy, while no patients with normo-albuminuria have this complication. The Chi-square value of 11.686 and the p-value of 0.008. Conclusion: The correlation analysis showed a strong positive correlation between creatinine and albuminuria. Overall, these findings emphasize the importance of early detection and management of albuminuria in patients with type 2 diabetes, as it may indicate the development of diabetic nephropathy and other complications such as retinopathy.