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Nepal is exposed to multi-hazard risk and is highly prone to disasters such as earthquake, flood, landslide, and drought. The climate, topography, nature-based livelihood, and weak economy and institutional capability to deal with such disasters put the country at frontline of the highly vulnerable countries in the world. Majority of the population of Nepal live in rural areas which are characterized by poorly developed infrastructures. Several disasters in such areas induce temporarily or permanently displacements of the people. Vulnerable communities, households, and individuals lack the capacity to withstand shocks, while more resilient communities are able to reduce the associated risks. Migration during disasters is itself an adaptive response which is both the opportunity and challenge for developing a resilient community. This chapter presents the trends and patterns of disaster-induced displacements in Nepal and explores how disaster-induced displacements could be an opportunity to build back better to enhance the resilience of the vulnerable communities. This chapter also highlights the existing institutions and disaster management framework of the national policies and strategies at the federal, provincial, and local levels in the light of disaster-induced displacement, and recommend actions that need to be taken to manage the risk of disaster-induced displacements and enhance resilient livelihoods in Nepal.