This chapter addresses the need for effective transboundary water agreements to stimulate financing and investment to increase water storage capacity in Afghanistan's water sector. Ninety percent of Afghanistan's surface water systems are transboundary in nature and it is predominantly an upstream country in a water-thirsty region. Despite having multiple transboundary water basins, Afghanistan has only one water treaty, on the Helmand River with Iran. The 1973 Helmand Treaty provides a binding solution to the issue of water rights in the Sistan area that had been the site of contention between Persia and Afghanistan since the 1800s. Creating economic and social stability in Afghanistan to counter poppy cultivation and reduce opportunities for insurgents is no simple matter, and increasing water storage capacity is not a silver bullet. Developing appropriate storage capacity is critical to catalyze economic development in the rural areas and enhance social stability.