AbstractRural development management in Nepal has been criticized for more than a decade now on the grounds of the country's weak aid‐absorbing capacity, administrative slowness and poor project management. Though several reforms of the rural development planning and management systems have been staged, at present coordination in integrated rural development projects remains weak. The paper reports on the empirical findings of research on mechanisms, procedures, organizational arrangements and problems of coordination. Although the country's environment, and its socioeconomic and cultural constraints, may negatively influence smooth operations in implementing integrated programmes, several policy considerations for improvement may be formulated. Among these, organizational reform with decentralization and reduction of the number of offices involved, strengthening the resource management system, especially budget release and personnel motivation, and a more integrated method of policy, programme and project formulation are the issues considered most important by the government officers themselves. Part II will appear in vol. 7, no. 3 of this journal, and examines the implementation and management of rural development in the Karnali and Bheri districts of the Mid‐Western Development Region of Ne