A number of areas are there in cloud computing, such as medical, financial and advertising sector where the services of the cloud computing can be implemented. Large amount of data is stored in the cloud database just because the user doesn’t have the large space capacity and computational platform. The data stored is so large, so that user does not want to store and perform any computation locally. So the user prefers to use cloud storage and computation. Here the homomorphic plays very important role as the user want to use the cloud services, but does not want the cloud provider to access user’s data. Homomorphic encryption technique provides the way to perform the arithmetic operation like addition and multiplication on encrypted data.