This annual report, prepared by the World Bank, is the first formal update on the activities of the Nepal Earthquake Housing Reconstruction Multi-Donor Trust Fund. The Report highlights the numerous milestones and achievements made in housing reconstruction from July 1, 2015 through July 31, 2016. It also contains information on the detailed household survey, disbursement of the first tranche of uniform housing grants to beneficiaries through newly established bank accounts, the widespread training of engineers and masons in resilient reconstruction, and the establishment of a management information system (MIS) which captures and tracks data, ensuring transparency and accountability. The annual report is divided into two chapters. The first presents the objectives and governance structure of the MDTF. The second summarizes progress made through July 31, 2016, the cut-off date for the annual report.