Diabetic retinopathy is the most frequent cause of new cases of blindness among adults aged 20–74 years. Patients with diabetic retinopathy (DR) are 25 times more likely to become blind than non-diabetics. Every person with diabetes is at risk of developing DR. More than 75% of people who have diabetes for more than 20 years will have some form of DR. Diabetic retinopathy is the result of damage to the tiny blood vessels that nourish the retina. They leak blood and other fluids that cause swelling of retinal tissue and clouding of vision. Present study was conducted in SMS Medical College and Hospital, Jaipur, including 100 diabetic which were further categorized into two groups i.e. 50 diabetic patients without retinopathy (Group 2), and 50 diabetics with retinopathy (Group 3).Results obtained were compared with 50 age and sex matched healthy controls (Group 1).Fasting blood samples collected using aseptic technique were subjected to analyze level of Fasting blood sugar, HbA1c, Serum Magnesium and serum Total cholesterol, Triglycerides, LDL-cholesterol and HDL-cholesterol in all the groups. Serum magnesium level in diabetic retinopathy was found to be significantly lowered than in Group 2 and I. Significantly Increased HbA1c was observed in diabetic retinopathy as compared to Group 1 and 2. Results obtained in our study showed increased cholesterol/HDL cholesterol ratio, hypercholesterolemia, hypomagnesimia, hypertriglyceridemia, elevated LDL-cholesterol lipoprotein fraction and significantly decreased HDL-cholesterol lipoprotein fraction in subjects with diabetic retinopathy which are responsible for micro vascular changes that the diabetic retinopathy patients have. From this study this is concluded that good glycemic control and lipid-modifying therapy arrests the development and progression of DR and decreases the visual loss.