The Nepalese follow their own calendar system known as the Bikram Era or Bikram Sambat . This festival celebrates the first day of the first month of the New Year and is observed as an official holiday. In Bhaktapur, fifteen kilometers from Katmandu, the new year celebrations take on added importance as the "Festival of Bisket " during a tall wooden post is erected in one of the main squares. This festival commemorates the great battle of Mahabharata , with the wooden post symbolizing victory.

After two days, images of god Bhairab and his female counterpart Bhadra are enshrined in two large chariots and pulled through crowds of cheering onlookers. When the chariot reaches a sloping open square, there is a tug-of-war between the inhabitants of the upper and lower parts of the town. Winners are considered to be blessed with good fortune for the coming year. The festival concludes with several days of dancing and worship. Thimi, another ancient town of the Valley, also celebrates the New Year with special festivities.