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Etymology

The indigenous Nepal Bhasa term for Kathmandu is Yen. The Nepali name Kathmandu comes from Kasthamandap, a building that stood in Kathmandu Durbar Square and was completely destroyed by the April 2015 Nepal Earthquake (it has since been reconstructed). In Sanskrit, Kāṣṭha (Sanskrit: काष्ठ) means "wood" and Maṇḍapa (Sanskrit: मण्डप) means "pavilion". This public pavilion, also known as Maru Satta in Newari, was rebuilt in 1596 by Biseth in the period of King Laxmi Narsingh Malla. The three-storey structure was made entirely of wood and used no iron nails nor supports. According to legends, all the timber used to build the pagoda was obtained from a single tree.

The colophons of ancient manuscripts, dated as late as the 20th century, refer to Kathmandu as Kāṣṭhamaṇḍap Mahānagar in Nepal Mandala. Mahānagar means "great city". The city is called Kāṣṭhamaṇḍap in a vow that Buddhist priests still recite to this day. Thus, Kathmandu is also known as Kāṣṭhamaṇḍap. During medieval times, the city was sometimes called Kāntipur (Sanskrit: कान्तिपुर). This name is derived from two Sanskrit words – Kānti and Pur. Kānti is a word that stands for "beauty" and is mostly associated with light and Pur means place, thus giving it the meaning, "City of light".

Among the indigenous Newar people, Kathmandu is known as Yeṃ Dey (Newar: येँ देय्), and Patan and Bhaktapur are known as Yala Dey (Newar: यल देय्) and Khwopa Dey (Newar: ख्वप देय्) respectively. "Yen" is the shorter form of Yambu (Newar: यम्बु), which originally referred to the northern half of Kathmandu. The older northern settlements were referred to as Yambi while the southern settlement was known as Yangala.

The spelling "Katmandu" was often used in older English-language text. More recently, however, the spelling "Kathmandu" has become more common in English.