Kathe Khola Rural Municipality is situated at north-east part of Baglung district, Gandaki province. This Rural Municipality was established in 2073 B.S. It combines then Pala, Resh, Lekhani, Dhamja, Bhim Pokhara, Tangram and Sigana Village Development Committees. This Rural Municipality is surrounded by Baglung Municipality from east, Galkot Municipality from west, Myagdi district from north Jaimini Municipality from south. This is named after Kathe Khola river flowing through this area. This local unit is divided into 8 wards. Mid-mountain Highway goes through this local unit.

Population of Kathe Khola Rural Municipality is 26,082 covering 6,154 households as per the census 2011. Population of female is 15,075 and male is 11,099. Ward number seven is most populated ward. This local unit covers 77.22 kilometer square area. Most of the land is covered by forest and farming area followed by grass area, mountain rocks and residence. There are about ninw ethnic groups residing under this local unit. Among them Magar constitute largest population with 33% followed by Brahmin, Chhetri and Kami. Most of the people (88%) speak Nepali language followed by Magar and Chhantel. Foreign employment is major occupations of people residing here followed by farming and service. Gulf countries, Malaysia, Japan and India are major destinations. Paddy, wheat, maize and barley are crops cultivated. Professional animal, vegetable and fruits have been also started. This is connected by road network and most of the people have access to electricity. Literacy rate is 73%.

Mr. Amar Bahadur Thapa is Chairperson and Mr. Arjun Bahadur Chhetri is Vice-chairperson of Kathe Khola Rural Municipality. Total number of local representatives is 42. Suldanda, Achhete  village is the center of this local unit. Number of employees working under this local unit is 32.