The Republic of South Africa, legatee of a three-century history of recurring drought, is firmly committed to a program of the optimum use of its water for the national benefit. Its water law encourages centralized planning in that water is held to be the property of the state and is assignable without requiring acquiescence by the basin or province of origin. Interbasin diversions from the Tugela River to the Vaal River Basin, from the Orange River to the Fish and Sundays River Basins, and from several basins to Cape Town are under construction as are facilities for water importation from Lesotho and Angola. For satisfaction of demands beyond the year 2000 the nation may depend increasingly on a shift of its power production and water-using industry from the coal fields of the central plateau to nuclear power development with associated desalination along its coasts. Alternatively, and preferably, it may cooperate in a co-prosperity bloc in Southern Africa aiding the economies of its neighbors by development for mutual advantage of the water and power resources of the Okavango and other northern rivers. Keywords: South Africa, interbasin diversion, water importation.