The goal of this study was to assess the prevalence and risk factors of peripheral neuropathy in people who had just been diagnosed with type 2 diabetes. One hundred newly diagnosed type 2 diabetic patients were randomly selected for clinical and electrophysiological testing to diagnose peripheral neuropathy at tertiary care in Bhubaneswar. The Neuropathy Symptoms Score (NSS), Neuropathy Disability Score (NDS), and Nerve Conduction Studies (NCV) were used to assess peripheral neuropathy, and the diagnosis of peripheral neuropathy was made when two or more of the three abnormalities of the NSS, NDS, and NCV were present. Peripheral neuropathy affected 29 patients (29%) of the 100 newly diagnosed type 2 diabetic patients, with 17 males (28%) and 12 females (31%). Multiple logistic regression analysis reveals that the duration of diabetes has the greatest impact on the development of diabetic peripheral neuropathy, although age, systolic blood pressure, and blood glucose all play a role. Peripheral neuropathy is found to be prevalent in newly diagnosed type 2 diabetic patients in Bhubaneswar using clinical and electrophysiological approaches, with a significant link between peripheral neuropathy and diabetes duration, patient age, and postprandial blood glucose levels.