The Kathmandu Valley Development Authority was established on 1 Baisakh 2069 under the Kathmandu Valley Development Authority Act, 2045, with the objective of making the Kathmandu Valley a beautiful, peaceful, scenic, touristic, green city and developing settlements in a systematic manner by systematizing unplanned urbanization and adopting a sustainable development process. The Authority is working on a 50-year vision and scenario, 20-year strategy and action policy plan, keeping in mind the basic issues of sustainable development of Kathmandu Valley, solid waste management, systematization and protection of open areas as parks, maintaining the health facilities and economic interests of the people, etc.

The Authority is involved in preparing the master plan and physical plan of Kathmandu Valley, land development, sewage and solid waste management, construction of green parks, water supply management, utilization, conservation and utilization of public land, various other projects, and some projects are being implemented.