Rao was born into a Telugu Brahmin family from Telangana on 7 November 1973. Her grandfather was J. Rameshwar Rao, Raja of Wanaparthy, Wanaparthy district, Telangana state. She was raised in Kolkata where she attended Loreto House. In 1992, her parents decided to leave Kolkata so she moved to Mumbai. She graduated with an economics major from the Sophia College for Women in 1995. She attended the Social Communications Media course at the Sophia Polytechnic for two months, but then quit and left for Delhi. She got her Masters at AJK Mass Communication Research Center at Jamia Millia Islamia, New Delhi. Actress Aditi Rao Hydari is Rao's first cousin.
Rao started her career as an assistant director in the epic film Lagaan directed by Ashutosh Gowariker, whom she also assisted later on Swades: We, the People. Lagaan was nominated for 74th Academy Awards in the foreign language film category. Aamir Khan produced and starred in the same film. Before Lagaan, she has also done minute role of supporting actress in Dil Chahta Hai. She also worked as second assistant director with Academy Award nominated director Mira Nair on the indie hit Monsoon Wedding.
She scripted and directed the film Dhobi Ghat, which was released in January 2011 under Aamir Khan Productions. She has started writing her next film which will have roots in Kolkata.
Kiran Rao was made the chairperson of the Mumbai Film Festival - MAMI in 2015.[9]
She also sang a Marathi song 'Toofan Aala' Satyamev Jayate Water Cup Anthem [10]
Rao married actor Aamir Khan in December 2005, after Khan divorced his first wife Reena Dutta in 2002. They met on the sets of Lagaan. Rao was one of the film's assistant directors. They now live in Bandra, a Mumbai suburb.[11] The couple have a son, Azad Rao Khan (born on 5 December 2011), who has been named after Abdul Kalam Azad.[12] She is an Atheist.[13]
Rao has been a life-long vegetarian, and she has influenced her husband, Aamir Khan, to turn vegetarian as well. After discussing the issue, both of them decided to turn Vegan, and although Rao had been taking milk products and honey during her vegetarian days, she gave it up following the discussion and agreement with her husband.[14][15][16]
Rao and actor Aditi Rao Hydari are first cousins. Hydari is Rao's father's sister's daughter. Rao's paternal and Hydari’s maternal grandfather, J. Rameshwar Rao, was the Raja of Wanaparthy, a large estate under the Nizam of Hyderabad. Wanaparthy is a district of Telangana.[17][18]
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