In this study, we have investigated the amplitude and intensity of traffic induced noise at noise sensitive institutions of Chittagong city in Bangladesh. The study has been conducted covering four types of sensitive institutions (for instance: schools, colleges and hospitals) from each of the three deliberately selected wards (administrative areas) out of 41 wards of the city. Maximum and minimum sound levels in all the sensitive institutions in average ranged from 65.84 to 79.69 dB and 59.73 to 69.03 dB respectively. In all the 12 different sensitive institutions, noise has exceeded the safe limit (45 dB) as set for noise sensitive institutions such as schools, colleges, hospital, parks by the Department of Environment (DoE), Bangladesh and World Health Organization (WHO). In all the three wards, sound level reached the maximum between 11am and 1pm, both at entrance, in the premises and inside the rooms. Sound levels showed a significant ( P=0.000) declining trend with increase in the distance from the source of noise. The majority of the respondents (73%) have indicated vehicular noise as the main source of noise in their institutes. Buses (29%), Private Cars (27%), Trucks (21%) and Three Wheeler Auto Rickshaws (14%) have been given as the major sources of traffic noise by the respondents. Adverse impacts of traffic induced noise on people inside the sensitive institutions (students in the classroom, and patients, nurses, doctors in the hospitals) have been divided into three categories physical health problems, mental health problems and other noise related problems. Among noise induced physical health problems – headache (79%), and among mental health problems – impaired concentration (82%) have been pointed out by the maximum number of respondents. Moreover, among all other noise induced problems, interference in communication (81%) has been reported as the highest one. The findings of the present study can be considered as baseline data for the decision makers in formulating policies and guidelines regarding the control of noise pollution in context of noise sensitive institutions.