Objective of this study was to see the prevalence rate of anemia in children among the age of 6-60 months who attended paediatric out patient department of Kathmandu Medical College. 100 children aged 6-60 months were randomly selected for hemoglobin measurement and anthropometry. Detailed clinical examination including anthropometry was done. Hemoglobin was checked by Hemocue machine with prior consent from the attendant. Mean height, weight, and body mass index (BMI) were measured. Forty six percent of the study group population had hemoglobin <11 gm/dl, similar numbers of the children were in the various state of malnutrition. Twenty eight percent of the children came from outside of the valley residing in Kathmandu. Fifty percent were illiterate or had primary level education only. Poverty, high rate of illiteracy and lack of awareness on taking appropriate food were important factors related to such a high childhood anemia. Iron supplementation should be given to the children particularly in the age group of 6 months to 3 years.