The financial system of a country is an important tool for economic development of the country. It helps in creation of wealth by linking the savings with investments. It also facilitates the flow of funds from the households (savers) to business firms (inventors) to aid in wealth creation and development of both the parties. Not only that, the financial system of a country is concerned with the allocation of savings, provision of funds, facilitating the financial transactions, developing the financial markets, provision of legal financial framework and provision of financial and advisory services in the country. A financial system comprise of financial institutions, financial services, financial markets and financial instruments. These constituents are closely related and work in conjunction with each others. This paper has dealt with discussed on some issues that are related to Indian financial system.