Dhanauji Rural Municipality is situated at mid-south part of Dhanusa district, Province number two. This Rural Municipality was established in 2073 B.S. by combining then Jhojhi Kataiya, Bahuarba, Lakhauri and Dhanauji Village Development Committees. This local unit is surrounded by Aurahi Rural Municipality and Janakpur Sub-metropolitan city from north, Nagarain Rural Municipality and Indian border from south, Bideha Municipality from east and Janakpur Sub-metropolitan city and Nagarain Municipality from west. This local unit is divided into five wards. This Rural Municipality is about 10 kilometer south-east to Janakpur city.

As per the census 2011, total population of Dhanauji Rural Municipality is 21,395 including 3,771 households. Population of male is 10,894 and female is 10,501. Most populated ward is ward number five. There are about 40 different ethnic communities residing under this local unit. Among them Mushlim is largest population constituting 16.76% followed by Kewat, Teli and Yadav. Hindu is major religion followed by Muslim. There are about 14 language speaking people residing under this local unit. Majority of people (86.25%) speak Maithali language. This covers total area of 22 kilometer square. 85% of land is covered by farming area and remaining by residence, garden and others. Agriculture is major occupation over here complementary occupations to agriculture are animal husbandry and fishery. Most of the land has irrigation facility. Trade, foreign employment and service are other occupations. This area is connected by road network and most of the people have electricity access.

Mr. Badri Narayan Shingh is Chairperson and Ms. Ramwati Mandal is Vice-chairperson of Dhanauji Rural Municipality. Total number of employees working is 12.