Historically At Taif, Saudi Arabia was a small community dependent upon local unconfined groundwater for its water supply. With increased urbanization the town was transformed into a major metropolitan area requiring additional water resources. To meet the increased demand, water projects were recently completed which transport water from wadi alluvia some 130 km from At Taif. Realizing the inadequacy of these sources and the unfavourable geological conditions of the western province of the Kingdom, the Saudi Arabians have elected to invest in desalination plants on the Red Sea coast and manage water resources on a national scale. In comparison, groundwater resources in the eastern province are abundant due to favourable geologie conditions. However, recharge rates are low and desalination appears to be the practical alternative here as well. A SUFFICIENT WATER supply is one of the most essential resources required to maintain a viable agricultural or urban society. With increased technology and diverse economic development in emerging countries, there is often rapid growth of urban areas which requires readjustments or changes in the sources, volumes and distribution of water resources. This is particularly the case in arid regions such as the Middle East where precipitation is low and water deficiencies commonly occur. Here the problem is further compounded by the rapidly developing oil-producing countries of the Arabian Peninsula where urbanization is reaching unprecedented proportions. With the exception of Oman, the Gulf States are anticipating future urban expansion over the next decade to accommodate expected in-migrations (Melamid, 1980). Saudi Arabia, with an area of 2.2 million km2, is the largest country in the Middle East, excluding the Sudan. Until quite recently its economy was based on nomadic pastoralism and localized oasis agriculture. With increased oil revenues generated in the eastern province, the Kingdom has experienced rapid urbanization. With the guidance and encouragement of governmental ministries, economic development has increased to a point where foreign labour sources are required to meet the growing demand for industrial, agricultural, and urban expansion. As development occurs, the need for more water in urban/residential areas increases. The large influx of migrants can be accommodated only in cities and the Saudi Arabian government has decided to plan and construct two new coastal cities: Yambo and Jubail, north of Jeddah and Dhahran, respectively. Furthermore, with improving living standards water demand per capita is increased. In this investigation water resources in the rapidly developing city of At Taif are examined. The urban development and associated management problems of the city are in many ways similar to those occurring in other urban areas in the Middle East. However, because of the geological setting of the At Taif region and its remoteness from bedrock aquifers and the Red Sea, local unconfined groundwater supplies have served the needs of the population until quite recently. With increasing demand, more remote water sources are being investigated and exploited.