Abstract. The velocity distribution function (VDF) of Dark Matter (DM) in Milky Way is determined directly from observational data of the Galaxy. This is done by "inverting" --- using Eddington's method --- the Navarro-Frenk-White universal density profile of the DM halo of the Galaxy, the parameters of which are determined from a recently compiled set of observational data on the Galaxy's rotation curve extended to distances well beyond the visible edge of the disk of the Galaxy. The derived most-likely local isotropic VDF strongly differs from the Maxwellian form assumed in the "Standard Halo Model" (SHM) customarily used in the analysis of the results of  direct-detection experiments. The astrophysical "g-factor" that determines the effect of the DM VDF on the expected event rate in a direct-detection experiment can be lower for the observational VDF than that for the closest Maxwellian VDF by as much two orders of magnitude at the lowest DM mass threshold of a typical experiment.