This electronic document is a report on Image Stitching. Image stitching is the process of creating an image panorama from a given set of images that have some common(overlapping) area in them. Previous researches done on this topic show that there is still a lot of scope for improvement in this field as although we are able to achieve good results but we haven’t really been able to achieve perfection. There are a lot of factors that are to be blamed here. While Stitching Images, there could be many challenges such as images being corrupt by noise and/or presence of parallax in the images. Image Stitching process is divided into 5 major steps: Image Registration, Feature Detection, Feature Matching, Homography Estimation and Image Blending. In this document we are going to discuss the current status of image processing techniques and what are the challenges being faced.