This book constitutes the refereed proceedings of the Second International Workshop on Algorithms and Computation, WALCOM 2008, held in Dhaka, Bangladesh, in February 2008. The 19 revised full papers presented together with 3 invited papers were carefully reviewed and selected from 57 submissions. The papers feature original research in the areas of algorithms and data structures, combinatorial algorithms, graph drawings and graph algorithms, parallel and distributed algorithms, string algorithms, computational geometry, graphs in bioinformatics and computational biology. The papers are organized in topical sections on bioinformatics algorithms, computational geometry and graph drawing, graph algorithms, and algorithm engineering.