The Indus River basin is considered one of the most depleted river basin systems in the world. The basin produces surplus food, but in due process, most of the available water resources are consumed within the basin. This leaves little prospect for water sector development. The situation is further deteriorating due to increasing water demand for irrigation, domestic and industrial purposes. Other challenges include the dwindling water levels of three existing dams due to siltation; unregulated utilization of resources; shift from surface water to groundwater and resulting depletion of groundwater resources; land degradation, as well as a predicted change in water availability due to climate change.