(1) A board of directors will be formed to conduct, arrange and organize the necessary programs to achieve the objectives of the fund and to supervise and manage all the activities of the fund.
(2) The following members will be in the committee:-
(a) Secretary, Ministry of Urban Development – ​​Chairman (b) Representative, Ministry of Finance (Gazetted First Class) – Member
(c) Representative, Ministry of Federal Affairs and General Administration (Gazetted First Class) -Member
(d) seven members including at least three women nominated by the Government of Nepal to be represented from each province from among the heads or deputy heads of municipalities. (E) Two persons nominated by the committee to be represented from among the technical persons working in the urban development field or from the agencies related to urban development, who have acquired expertise in the field of financial institution operation, or who have obtained a bachelor's degree in engineering. (E1) Three people, including at least one woman, appointed by the Ministry from among the people with expertise in urban development on the basis of inclusiveness - members
(f) Executive Director – Member – Secretary
(3) The term of office of members nominated in accordance with clauses (d) and (e) of sub-section (2) shall be two years. If the position of a nominated member becomes vacant after the term is not completed, the position will be filled for the rest of the period by the same process by which the position was filled.
(4) If the committee deems it necessary, it may invite any native or foreign expert, consultant or distinguished person related to urban development work to participate in the meeting of the committee as an observer.