Ghodaghodi Lake in Far-West Nepal has been listed as a Ramsar Site due to its significance as a habitat for several endangered species of flora and fauna. The wetland and its surrounding area is facing deforestation, forest degradation and encroachment. In this case study, unsupervised and finally supervised classification of multi-temporal Landsat imagery covering the wetland area was applied. A post-classification comparison approach was used to derive forest cover change maps. The results depicted the loss of forest cover over a thirty- one year period, in three time slices. The highest rate of loss was observed in the 1990 to1999 time slice.