Key Issues … Water Resources Egypt’s water supply is primarily dependent on the second largest river in the world, the Nile. More than 95 percent of the water consumed in Egypt is generated outside of its geographical territory. The mean annual rainfall in Egypt varies from a maximum of 180 mm/year on the north coast, which extends for a distance of 1000 km, then decreases to an average of 20 mm near the city of Cairo, and diminishes to as little as 2 mm close to the city of Aswan in upper Egypt. Different scenarios provide widely diverging fluctuations of possible future Nile river flows, from a 30 percent increase to a 78 percent decrease. Water management is thus one of the most important adaptation actions. On the supply-side, adaptation options include measures to improve rain-harvesting techniques, increasing extraction of ground water, recycling water, water desalination, improving water transportation, and water conservation. Adaptation on the demand-side requires minimizing reliance on water and optimizing economic return of its unit volume.