Traffic congestion is a condition on transport network that occurs as vehicular use increases and is characterized by slower speeds, longer trip times and vehicular queueing. When traffic demand is great enough the interaction between vehicles slows the speed of traffic stream, this results in traffic congestion. As demand approaches the capacity of a road traffic congestion sets in. When vehicles stand for periods of time, this is known as traffic jam or traffic snarl-up. Traffic congestion in recent world is a worldwide urban phenomenon and even the so called well managed developed nations have its prevalence. Only the Underdeveloped countries have managed to have escape from this problem primarily due to lack of vehicular usage owing to low Economic development. This paper attempts to explain the problems of traffic congestion and their related impacts whether in terms of economy or social aspects on administration and society respectively.