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Water resources are in many countries transboundary and as such, especially in arid regions such as the Middle East, may provide a basis for conflict. War almost broke out between Syria and Iraq following the construction of a dam on the Euphrates River by Syria. This is even more critical in cases where conflict exists due to other reasons. Such is the case with the Israel and the Arab neighboring countries conflict with the water issues between Israel and the Palestinian Authority being particularly complicated since they are intertwined in all aspects.

The danger of water issues becoming casus belli has triggered water allocation and/or treatment arrangements between Israel and each of its neighbors. One of the more important issues in securing the Israel and the Kingdom of Jordan peace treaty was the sharing of water resources, following many years of trust-building agreements even though the two countries were in a state of war. Between Israel and the Palestinians, cooperation in water issues is essential for both sides and thus, even through the difficult periods of intifada (uprising) the only cooperation which existed was in the water sector. Several joint projects have and are being carried out and joint committees meet to solve problems.

Transboundary-shared water resources may be a reason for conflict; however, if handled wisely by the involved countries, may even provide a basis for settling other issues of conflict.