Oriental Dwarf Kingfisher is forest kingfisher found in shady and moist places. In India it is found in two populations. One population breeds in Northeast states like Assam while second population is found across Western Ghats and its foothills. North-eastern population breeds from March while Western Ghats population breeds from June which coincides with onslaught of monsoon. There is breeding population in Srilanka also which might be part of same western ghats population. 

Species is found throughout the year where there are flowing streams in shady forests. Lack of breeding records from Kerala and Karnataka suggests main breeding population in Southern India probably migrates from southern states towards northern western ghats in Maharashtra and Goa where it is found in good numbers during months of June to September