In fact, they have been proved great tools compared to the less facilitated observatories for the countries like Nepal. Their resources can be accessed over the internet by astronomers regardless of their location, expertise and the level of access to their own advanced computing facilities. Due to their nature, they can make an immense impact on the way astronomy is done in the developing countries like Nepal. This paper will deal with the use of virtual observatories for the astronomy outreach and research in Nepal and outlines the existing challenges we will for the better implementation in the nation. We will also discuss on how these tools are materialized in Nepal for professional astronomy. Collaborative works for the development of virtual observatory in Nepal will be discussed. The possibilities of greater astronomical outreach with the help of virtual observatories are discussed in detail.