The purposes of this study is to analyze the quality of government and the impact of individual characteristics on quality of life (QOL) in the local governments of Nepal and Ethiopia. Many researchers have emphasized the quality of government as a universal measure of the quality of life and have tested its effectiveness, but there are not many studies on the effects in developing countries. By testing this model in developing country cases, this study shows whether it’s still applicable in the developing world and examines what kind of local government capacities are associated with quality of life in each country context. We used the survey data already collected from 412 local residents in Nepal’s Tikapur in 2017 and 500 local residents from three Ethiopian regions in 2019. The surveys were conducted by the Institute for Poverty Alleviation and International Development under the project of ‘Capability Data Series’. Studies have shown that the quality of governance, the quality of public services, and the convenience of access to public services have a positive effect on the quality of life, and that individual freedom, health condition, and living habits affect the quality of life in terms of personal characteristics. In addition, it has been found that the impact of government quality and individual characteristics on various dimensions of quality of life varies from country to country. The result indicates that individuals living in a community whose governments is accountable, provide better public services, and ensure easy access to the public services are more satisfied and happier than those living in areas with low-quality of local government. Also, individuals living with strong and healthy social-economic-physical status and good habits enjoy a high level quality of life.