Nepal Academy of Fine Arts (NAFA) is the umbrella organization of Nepali artists, art researchers and art critics that facilitates for creation and exhibition of artworks, and study and research of various genres of arts. NAFA has two constituent parts as Academic Council and Academic Assembly. The Academic Assembly makes policies and programs for the development of Nepali art, and Academic Council executes them in association with Nepali artists and sometimes in collaboration with other art organizations. It also monitors various art activities in the country, evaluates artworks and awards the artists. The Academic Council consists of Chancellor, Vice-Chancellor, Member Secretary and the Members of Academic Council. The administrative unit of the Academy assists for the regular functioning NAFA.

The Academy organizes various art workshops, seminars, and National Art Exhibition within its office premise at Sita Bhawan, Naxal, Kathmandu, Nepal and various districts of Nepal to impart new and innovative concepts, skills, techniques and styles of art with other artists, share experiences and learn from participant artists across the country. NAFA encourages for the study and research of the history of Nepali art by providing fellowship and scholarship to the researchers. The research findings are documented and published for the benefits of all artists. NAFA aims to make aware Nepali artists about their roots and glorious history so that they can take inspiration from their own tradition. In addition to this, it attempts to introduce modern and postmodern trends of world arts to contemporary Nepali artists. The Academy assists artists to promote their creativity and creations by taking fund from Nepal Government and by generating its own resources.

The Academy aims to develop all genres of existing art, and to fulfill this objective it has separate Departments for painting, traditional arts, sculpture, folk art, handicrafts, architecture, alternative and other creative arts. These Departments have been headed by Members of Academic Council who make separate working plans for their own Departments. NAFA encourages both traditional and contemporary art practices.

The Academy has its own museum which has a collection of artworks from past to present. The viewing of artworks gives a sense of visual history of Nepali art, culture and society. The artworks in museum include painting, sculpture and other creative artworks. The Academy also has a gallery that is used to exhibit the artworks of both national and international artists. NAFA not only encourages research and writing on art but also publishes research reports, journals, magazine and books on art. The library in the Academy has a collection of art books, journals, magazines and research reports on both Nepali art and world art.