Abstract-In developing countries, such as Nepal, the expansion of cities produces parallel growth of large informal settlements, in which aspects the qualities of life are threatened. This study focuses on prioritizing 6 different environmental issues (Health and sanitation, Water availability, Solid waste disposal, Food, Flood and Transportation) observed in one informal settlement. Two focus group discussions were conducted, one with 12 and the other with 14 participants. One hundred and twenty respondents (out of 700 households) were selected through proportional stratified sampling based on gender and age strata. Water shortage was found to be the major environmental issue in the settlement. The study describes the livelihood challenges in the settlement, such as water shortages, solid waste disposal, health and sanitation. It also proposes alternative solutions for managing the enclave's infrastructure, while addressing changing climate.
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