The prevalence of obesity has nearly doubled between 1980 and 2008, about 35% of world’s adult population is overweight with BMI> 25 kg/m². The similar trend of increase in prevalence is seen in children; in 2013, 42 million children under age of 5 years were overweight or obese. Overweight and obesity are linked to more deaths than underweight (this includes all high income and middle income countries). With increase in adiposity due to weight gain, a low grade inflammation follows, which influences the insulin sensitivity, glucose metabolism and atherosclerosis leading to various disorders. In addition to obesity physical inactivity is also associated with increased level of inflammatory markers in lean, overweight and obese individuals. However the literature is inconsistent about the association between physical inactivity and inflammation is independent risk factor for increase in inflammatory markers. The purpose of this review is to find the relation between adiposity and low grade systemic inflammation and its impact of various disorders like endothelial dysfunction, atherosclerosis, insulin resistance which leads to various disorders and potential health implications. Here dearth of literature is presented to understand the interaction between obesity, physical inactivity on inflammatory markers, especially in children as their anthropometrics changes with age. This review highlights the need for further research for better understanding of the complexity of obesity, inflammation and health implications.