The Government of Nepal has established the Narayani Hospital Development Committee under the Development Committee Act, 2013, creating a formal structure for the hospital’s management and development. The order defines the composition of the committee, qualifications and tenure of members, disqualification provisions and procedures for filling vacant positions, while placing the committee’s office within the hospital.

The committee has been empowered to prepare and approve the hospital’s annual policies, plans, programmes and budget; mobilise financial and physical resources; protect hospital property; and expand and improve health services. It may also determine service charges, arrange concessions for financially disadvantaged patients, monitor hospital services, improve waste management and ensure the availability of medicines supplied by the government.

The order further requires the hospital to strengthen service-quality monitoring, provide patients and stakeholders with information on available services, develop its health-information system, conduct social audits and submit recommendations to the Ministry of Health and Population for service improvements. An Executive Director is responsible for implementing committee decisions, executing approved programmes, coordinating hospital operations and managing assets and administrative affairs.

A dedicated fund will support the committee through grants from federal, provincial and local governments, income generated from hospital services, domestic assistance and approved foreign support. The order requires accounts to follow government-prescribed standards, mandates final auditing by the Office of the Auditor General, and obliges the committee to submit annual reports and comply with ministry directives, strengthening financial and institutional accountability at Narayani Hospital.