Though locates at the Pearl River Delta and being a coastal city, Macao has been suffering from water shortage due to its small land area hence very limited catchment. With an increasing pace of social and economic development of the region recently, maintaining proper supply of potable water both in quality and quantity is a challenge, of which sea water intrusion during dry season is one needed to be tackled immediately. Management of the raw water resources is an urgent topic for the Pearl River Basin where Macao sits on its exit delta. Through analysis of the basin hydrological and related data, possible causes of the worsening saline-water-intrusion situation were identified. Approaches to solve this problem at basin level, delta level and local city level are being attempted; e.g. cooperating with the water conservancies in Mainland China, a new raw water intake for Macao was built further upstream, and a reservoir of high capacity is being constructed as a major supporting unit for fresh water supply during dry season. Nonetheless, a future plan including a centralized water resources and basin management system and related regulations is necessary.