The deceased has been identified as Ishwori Bhattarai, 60, said police.
The incident took place when Bushnu Khanal attacked Bhattarai with the weapon said Deputy Superintendent of Police Binod Ghimire. The reason for the murder is yet to be known.
The police have arrested the suspect, who was hiding in Tansen Municipality-6 following the incident. Investigations were on, said Ghimire.