Civil Aviation Authority of Nepal (CAAN) (Nepali: नेपाल नागरिक उड्डयन प्राधिकरण) was established in 1998 AD as an autonomous regulatory body under the Civil Aviation Act, 1996. CAAN is the controller of civil aviation as well as the service provider in the areas of Air Navigation Services (ANS) and Aerodrome Operations (AO). In 1993 AD (2050 BS), Civil Aviation Policy (CAP) was introduced by Government of Nepal and it made the provision of the transformation of Department of Civil Aviation (DCA) into an autonomous Civil Aviation Authority (CAA).
Department of Civil Aviation (DCA) was formally established in 1957 AD under the then Ministry of Work, Communications and Transport (MoWCT) of the Government of Nepal. The statutory regulations regarding civil aviation were initiated under the Civil Aviation Act, 1959 AD (2015 BS). In 1960, Nepal obtained the membership of International Civil Aviation Organization (ICAO).