diff --git a/docs/decisions/0016-add-notifications-app.rst b/docs/decisions/0016-add-notifications-app.rst
new file mode 100644
index 0000000000..cf9c372f98
--- /dev/null
+++ b/docs/decisions/0016-add-notifications-app.rst
@@ -0,0 +1,22 @@
+Add new Django application for notifications
+==================================================
+
+Status
+------
+Accepted
+
+Context
+-------
+We are planning to build a notification framework that can be leveraged by platform apps/workflows like forums, grading, announcements, reminders, marketing and course recommendations etc. We intend to implement this framework using forum notifications, and later expand it to other platform apps/areas.
+The notification framework has a lot of platform dependencies e.g the User model, User account settings etc. This is expected to be a core feature of the platform and will be enabled by default for all users.
+Keeping all of this context in mind the best way to implement this feature is to create a new Django app that can be used by all the platform apps.
+
+
+
+Decision
+--------
+Add a new Django application in lms for notifications
+
+Consequences
+--------
+* adding a new Django app in lms