Karaimai Rural Municipality is situated at mid part of Bara district, Province number two. This Rural Municipality was established in 2073 B.S. by combining then Haraiya, Karaiya, Sihrowa, Tetariya, Umajan and Narahi Village Development Committees. This local unit is divided into eight wards. This Rural Municipality is surrounded by Kolhawi Municipality from east, Kalaiya Sub-metropolitan city from west, Kolhawi and Jitpur Simara Sub-metropolitan city from north and Pachtaura and Baragadhi Rural Municipalities and Gadhimai Municipality from south. This is plain area of mid-south part of Nepal. This is connected with Kalaiya bazaar, headquarter of district.

As per the census 2011, total population of this Rural Municipality is 26,478 including 4,173 households. Population of female is 13,012 and male is 13,475. Most populated ward is ward number seven. This covers total area of 47.69 kilometer square. Hindu and Muslim are major religions followed by people. About 50% people speak Bhojpuri followed by Tharu, Nepali and Maithali. Most of the people belong to Madhesi Hindu community followed by Muslim and Mountain people. Agriculture is major occupation followed by labor, foreign employment and trade. This is prone area of paddy and wheat.

Mr. Bhuneswor Dhami is Chairperson and Ms. Chitra Rekha Kumari Chaudhary is Vice-chairperson of this Rural Municipality. Karaiya bazaar is center of this local unit. Total number of staffs working under this local unit is 28.