A method for managing memory in a nested virtualization environment is provided. The method comprises implementing a first virtual machine (VM) for a first software such that a first guest memory is allocated to the first software; maintaining a first data structure to translate one or more memory addresses in the first guest memory to corresponding memory addresses in a physical memory; maintaining a second data structure to translate one or more memory addresses in the second guest memory to corresponding memory addresses in the physical memory. The first software implements a second VM for a second software such that a second guest memory is allocated to the second software and maintains a third data structure to translate one or more memory addresses in the second guest memory to corresponding memory addresses in the first guest memory.