Water budget management is an innovative exploration that leverages market mechanisms to enforce rigorous and meticulous water resource governance while promoting prudent and efficient use of water resources. It represents a modernized water management approach that better aligns with contemporary governance principles. In recent years

the Ministry of Water Resources has actively piloted water budget management initiatives nationwide

achieving notable progress and accumulating valuable experience. However

as an emerging concept

there remains some ambiguity regarding its objectives

characteristics

and advantages

despite widespread interest. This paper argues that water budget management focuses on balancing water supply and demand while enhancing utilization efficiency. It integrates development needs with binding regulatory constraints

utilizing water as a key factor to guide industrial restructuring and drive high-quality development. Moreover

it facilitates the upgrading of existing water resource management and technological systems

demonstrating significant advantages. To further advance water budget management

the paper proposes the recommendations including strengthening legal frameworks to provide a solid foundation for water budget management

enhancing top-level institutional design to ensure systematic implementation

prioritizing market-oriented services to expand its influence and applicability

improving coordination and innovation in integrating water budgets with existing water management systems

accelerating digital and IT infrastructure development to support efficient water budget management

strengthening technical guidance and performance evaluation for pilot projects to ensure effective scaling. By implementing these measures

water budget management can be more effectively institutionalized

contributing to sustainable and high-quality water resource governance.