The constitution of Nepal Academy can be taken as an achievement of the political turnover of 1951. After the downfall of the Rana regime, significant achievements were made in the field of Nepali literature, culture, art and knowledge. In the free environment after the establishment of democracy, men of letter, artists, cultural activists and scientists started conducting new experiments in their respective fields. To include the suppressed creativity into the national mainstream, the need for a national autonomous institution was felt. But, because of political instability and disorganization, the constitution of such an institution was delayed.
An institution that would represent the nation in the field of literature, culture, art and knowledge was finally established seven years after the revolution. On June 22, 1957, His Late Majesty King Mahendra, founded an autonomous institution called Nepal Sahitya Kala Academy to promote the nation's glory through the development of literature, culture, art and knowledge.
The name of this institution changed on many occasions. In the same year it was called Nepal Academy after the promulgation of the Nepal Academy Act, and it was renamed Nepal Academy on March 3, 1958. From April 1967 onwards it came to be known as Nepal Rajkiya Pragyã Pratisthan. Now again according to new act 2007 it was renamed Nepal Academy. These acts brought about certain changes not only in its constitution but also in its function.
When it was first established, His Majesty himself was the Chancellor; but, later, this post was given to academicians who had rendered significant services in the field of literature, culture, art and knowledge. However, in the last act, the Prime Minister was made Chancellor and the Minister for Culture, Tourism and Civil Aviation was made Pro-chancellor. but at present according to the new act of 2007 the Prime Minister is the Chief Patron, the Minister for Culture and State Restructuring is Patron of Nepal Academy.
Nepal Academy is situated in the heart of the city, it has its own huge complex at Kamaladi. Its compound occupies 50 ropanis of land and the main building has an air-conditioned exhibition hall, a library, a seminar hall and an auditorium.