Background: The present study was planned to compare microalbuminuria between normotensive and hypertensive type 2 diabetes mellitus patients. Introduction: Microalbuminuria is a well–known predictor of poor renal outcomes in patients with type 2 diabetes and in essential hypertension. Recently it has been also used as for predictor cardiovascular outcomes in sample population. Through various studies now it is clear that study of microalbuminuria as well as measures should be taken in all patients with type 2 DM & hypertension to suppress the complications due to microalbuminuria. Material & Methods: The present study included 500 type 2 diabetes mellitus subjects & were divided into two groups based on hypertension (Group A–normotensive & Group B– hypertensive patients).Urinary albumin creatinine ratio (UACR) was used to determine microalbuminuria. Hypertension was defined as per WHO criteria; systolic blood pressure (SBP) ≥140 mm of Hg and diastolic (DBP) ≥90 mm of Hg. Result: Group A of normotensive diabetes mellitus patients had a mean value of UACR (Urinary albumin creatinine ratio) 177.23 ± 34.93 mg/g as compared to hypertensive diabetes mellitus patients (group B) those had higher levels of UACR with a mean value of 193.21 ± 48.18 mg/g. This difference was statistically significant with a p value<0.05. Conclusion: This study showed higher UACR ratio in Hypertensive type–2 DM patients as compared to Normotensive type–2 DM patients. The presence of microalbuminuria is a powerful predictor of renal and cardiovascular risk in patients with type 2 diabetes and hypertension. In addition, multiple studies have shown that decreasing the level of microalbuminuria reduces the risk of adverse renal and cardiovascular outcomes. The hypothesis may be related to endothelial dysfunction, inflammation, or possibly abnormalities in the renin–angiotensin aldosterone system.