According to the 2021 census, Dalits comprise 13.8% of Nepal's total population. Historically, Dalits have been one of the most marginalized caste groups in Nepal, consistently occupying the lower rungs of society.
Wealth quintile data shows Dalits in Nepal are predominantly in the lowest quintiles. Nearly 46 percent of Hill Dalits fall in the bottom quintile compared to only 10 percent of Madhesi Dalits. Additionally, almost 85 percent of Tarai/Madhesi Dalit women lack education.
The Civil Service Act of 1993 in Nepal introduced a reservation system to make the civil service more inclusive. The Act stipulates that civil service vacancies are filled through internal promotion and open competition. In the open competition category, 45 percent of vacant posts are allocated to various sub-categories of reserved groups: 33 percent for women, 27 percent for Adibasi/Janajati, 22 percent for Madhesi, nine percent for Dalits, five percent for people with disabilities, and four percent for residents of backward areas.
The identified Dalit groups in Nepal are as follows;
| Caste in Nepali | Caste in English |
| गन्धर्व (गाइने), | Gandharva (Gaine) |
| परियार (दमाई, दर्जी, सूचिकार, नगर्ची, ढोली, हुड्के), | Pariyar (Damai, Darji, Suchikar, Nagarchi, Dholi, Hoodke) |
| बादी, | Badi |
| विश्वकर्मा (कामी, लोहार, सुनार, ओड, चुनंरा, पार्की, टमटा), | Viswakarma (Kami, Lohar, Sunar, Wod, Chunara, Parki, Tamta) |
| मिजार (सार्की, चर्मकार, भूल), | Mizar (Sarki, Charmakar, Bhool) |
| पोडे (देउला, पूजारी, जलारी), | Pode (Deula, Pujari, Jalari) |
| च्यामे (कुचीकार, च्याम्खल), | Chyame (Kuchikar, Chyankhal) |
| कलर, | Kalar |
| ककैहिया, | Kakaihiya |
| कोरी, | Kori |
| खटिक, | Khatik |
| खत्वे (मण्डल, खड्ग), | Khatbe (Mandal, Khanka) |
| चमार (राम, मोची, हरिजन, रविदास), | Chamar (Ram, Mochee, Harijan, Rabidas) |
| चिडिमार, | Chidimar |
| डोम (मरिक), | Dom (Marik) |
| तत्मा (तांती, दास), | Tatma (Tanti, Das) |
| दुसाध (पासवान, हजरा), | Dusadh (Paswan, Hajara) |
| धोवी ( रजक, हिन्दु), | Dhobi (Rajak, Hindu) |
| पासी, | Pasi |
| बाँतर, | Bantar |
| मुसहर, | Mushar |
| मेस्तर (हलखोर), | Mestar (Halkhor) |
| सरभङ्ग (सरवरिया), | Sarvanga (Sarbaraiya) |
| नटुवा, | Natuwa |
| ढाँडी, | Dhadi |
| धरिकर/धनका | Dharikar/Dhanka |