Background: Accurate quantification of clinically significant changes of balance impairment is a key factor in understanding the effects of various disorders and treatment techniques on balance, the sway graph instrument is designed to measure the shift in COG in standing posture. Objective: To test the reliability of sway graph and to develop it as an accurate outcome measure of balance impairments. Subjects: One hundred and eighty nine community dwelling older adults (Mean age: 66 years) participated. Study design: Prospective study design Methods: Subjects were tested twice with sway graph by the same examiner on consecutive days to evaluate intra rater reliability and Subjects were tested by two examiners with sway graph to evaluate inter rater reliability. The reliability was calculated using intra class correlation coefficients (ICC). Results: The ICC result for inter rater reliability and Intra rater reliability of sway deviation variables were r-0.98, r-0.96 for A-P swing and r- 0.96, r-0.97 Lateral swing. The SDD of the variable were 19.391and 19.828 for A-P swing and 13.837and14.281 for Lateral swing. Cronbach__ampersandsignrsquo;s alpha index score were very proximal to 1(0.983, 0.981) proving excellent internal consistency. Conclusion: The study showed good reliability results for sway graph and notably minimal systematic error in measuring sway with in elderly subjects.