Pneumonia is an important cause of neonatal infection and accounts for significant morbidity and mortality in the neonatal period. The best way to reduce the high prevalence of pneumonia at this age group is through identification and elimination of its risk factors. This case-control study was conducted in the department of Pediatrics, Dhaka Medical College & Hospital during Nov 2007 to Nov 2008 with an aim to identify the risk factors of pneumonia. Data were collected from 100 neonates, 50 cases and 50 controls who met the predefined inclusion criteria. Results shows mean birth weight (p<0.05), inadequate antenatal care (p<0.001), normal vaginal delivery (p<0.05), home delivery (p<0.001), delivery by untrained personnel (p<0.001), neonatal resuscitation (p<0.001), intrapartum fever (p<0.01), obstetric problem of mother (p<0.001), foul smelling liquor (p<0.01), prolonged rupture of membrane (p<0.001), prolonged labour (p<0.05) were significantly associated with pneumonia. Multivariate analysis showed inadequate antenatal care (OR 168.9), home delivery (OR 13.8), intrapartum fever (OR 225.9), obstetric problem of mother (OR 33.4), requirement of resuscitation (OR 12.5), prolonged labour (OR 15.2) as significant risk factors of neonatal pneumonia.