Newars are the dominant ethnic group of the Kathmandu Valley and surrounding central areas of Nepal. Newars are of Mongolian Origin. Despite their geographical origins, the majority are now Shaivite Hindus following received Hindu customs, although communities of Newars Buddhist do remain. The Newars are well known for their high level of craftsmanship, learning and trade. They have their own language, script and literature, and take pride in a legacy of cultural traditions dating back to ancient times. The rich culture or Newars have given Kathmandu its identity as cultural capital of the country.Kathmandu has been the homeland of Newar community. The Newars are inhabitants of a Tibeto-Burman origin who speak in Newari as well as Nepali. Newari is very distinct from Nepali or Hindi, and is one of the most difficult languages to learn. The Newars are among the largest indigenous groups of Nepal and make up the 7% of the total population. Several Newari families follow Buddhism as well as Hinduism. The person of this group usually inclines towards commerce, trade and farming. Newars are excellent farmers and merchants, as well as skilled artists. They excel in art, literature, sculpturing, casting bronze, silver and fascinating forms of architecture. Newars lead a communal way of life and have developed several unique customs including the worship of Kumari the living god and annual chariot festivals that provide the high point of the valleys cultural life.