The long-standing critical requirement of exploring alternate means to road and rail transport,for movement of essential commodities and commercial items, across Pakistan came to the forefront owing to various studies on the subject. This was reflected in the National Transport Policy, promulgated in 2018. Accordingly, the implementation of developing Inland Water Transportation Authority is in progress, as the government is expected to legislate on the matter. Inland waterways play a vital role in economic development,especially for remote rural areas. Focus on this sector would open new vistas of development along the banks of various waterways, and its extent can be enhanced in the regional context, up to the Kabul River in Afghanistan.This paper highlights the spadework done up till now and points at the impediments to making Pakistan’s in land water transport system workable while proving a cost-effective solution to ever-increasing cargo traffic. The paper analyses the potential of the Indus River, along with various tributaries and canals associated with irrigation of the vast plains of Pakistan. The projected insufficiency of water throughout the year in the system is discussed considering available data and records based on historical perspective. The establishment of Indus Water Transport Company by the Government of the Punjab, and achievements thus far have been underscored.