Revolutions in Information technology had a great impact on the Indian banking sector. Since economic liberalization in the year 1991, use of computers has increased many folds because country's banking sector had been exposed to the world's global market and Indian banks were finding it really very difficult to compete with the international banks in terms of various services, without the use of adequate information technology system. Information technology can be defined as the acquisition, processing, storage and dissemination of all types of information using computer technology and telecommunication systems. The use of computers has led to the introduction of online banking in India. With the use of information technology banks can provides many services to clients like ATMs, Electronic funds transfers, internet banking etc. Use of information technology in banking industry will provides numerous business opportunities at less cost, time and can also place utility. The present paper will focus on the role of Information technology in Indian banking sector.