Lichhavi rule

It is unclear when exactly the Licchavi kingdom began. From the findings at the ancient capital of Handigaun, it appears that Licchavi rulers were in power on two occasions: from about 200 CE to the 5th century, and from about 750 to 1200 CE.[3] Archaeological evidence for the Licchavi period mainly consists of stonework inscriptions, reckoned on two separate, consecutive eras; the former era evidence, in the Åšaka or Saka era, has an epoch corresponding to 78 CE, whereas the latter, of Aṃshuvarmā or Manadeva-II's era, reckons from 576 CE.

In between, in the fourth century CE, the country fell under the influence of Indian Gupta Empire - considered to be a golden period of Hinduism in India - whose cultural diffusion is evident, despite their lack of direct control of Nepal.

First Licchavi rule evidence: A well-preserved life-sized sandstone sculpture of a king named Jaya Varman, discovered in Maligaon in the eastern part of Kathmandu, contains an inscription dating it to the 'samvat' year 107, which most probably is in the Shaka era and is, therefore, from 185 CE; this dating is also supported by the style of the sculpture which is clearly Kushan in origin. It is unclear whether Jaya Varman was a Licchavi or a pre-Licchavi monarch. However, most scholars are agreed that, Licchavi rule of the Kathmandu valley must have begun in the first or second century CE.

Second Licchavi rule evidence: Two known dated inscriptions, both Licchavi, are a broken pillar inscription from Pashupati dated 381 (459 CE), and the Cangu Narayana pillar inscription of King Manadeva in 386 (464 CE).

There is a good and quite detailed description of the kingdom of Nepal in the account of the renowned Chinese Buddhist pilgrim monk, Xuanzang, dating from c. 645 CE.

The Licchavi rulers arranged for the documentation of information on politics, society, and the economy in the region. Most of the Licchavi records—written in Sanskrit—are deeds reporting donations to religious foundations, predominantly Hindu temples; and the last such record was added in 733.

The Licchavi dynasty went into decline in the late eighth century and was followed by a Newari era, from 879, although the extent of their control over the entire country is uncertain.

Thakuri rule

By 879, the Licchavi era had petered out and was succeeded by the Thakuri dynasty. A grim period of instability and invasions often referred to as the 'Dark Ages' followed, but Kathmandu Valley's strategic location ensured the kingdom's survival and growth.