Thermal energy produced by discrete and random electric sparks in electric discharge machining (EDM) melts surface material. A portion of this molten material is removed and the remaining material resolidified by rapid cooling in a hydrocarbon oil. The effect of repeated heating and cooling of the surface and sub surface material with complex temperature gradients results in residual stresses in machined parts. The aim of this investigation is to determine the distribution of residual stresses in the depth of machined material with respect to discharge current, most important electric parameter during EDM. It is well known that surface finish is dependent on discharge current. Therefore, investigations were carried out for smaller discharge current levels i.e. 3, 6, 9, 12 ampere. Hole-drill strain gauge method is used for the determination of residual stresses in the depth of material. For comparison purposes, residual stresses are also determined for conventionally turned specimens. This study provided quantitative analysis of the residual stresses for various discharge current in EDM which is a key parameter in deciding the service life of material.