Situated at the height of 1100 meters on the Anadu Hill, Nichidatsu Fujii laid the foundation stone along with relics of the Buddha on 12 September 1973.

Morioka Sonin, Dharmashilla Guruma (nun) and Min Bahadur Gurung were the key people in constructing the pagoda.

During the construction of Shanti Stupa, workers were arrested several times by the Nepalese government for what was ultimately determined to be false accusations.

The statue of the first elected deputy defense minister, Min Bahadur Gurung, was placed in front of the Shanti Stupa to honor his land donation.

On 21 May 1992, after an eighteen-year uphill battle, the Honorable Girija Prasad Koirala came to the Anadu Hill and re-laid the foundation stone.

Construction was completed without obstruction and the inaugural ceremony was conducted in the presence of the Chairman of the Nepali Congress Party and former Prime Minister Girija Prasad Koirala on 30 October 1999.

[1] The second tier displays four statues of the Buddha presented as a souvenirs from different countries: ‘Dharmacakra Mudra’ from Japan, ‘Bodh Gaya’ from Sri Lanka, ‘Kushinagar’ from Thailand and 'Lumbini' from Nepal.

[1] Dhamma hall, with the Buddha statue, is located near the peace pagoda where Buddhist rituals take place daily and large pujas are performed on important dates according to the Lunar calendar, such as on full moon day.