This thesis is making a cross-section through Croatian drinking water supply and comparing it with Austrian drinking water supply in an international context. Firstly, there is a description of drinking water supply status. There is a clear view on an access to water and sanitation services, performance and financing of services. By the regional standards Croatian quality of service is on a pretty high level. Investments are usually financed with some loans from the European Bank for Renovation and Development, the World Bank and the mostly from the EU cohesion funds. The EU usually finances 70% of an investment, Croatian Waters finances 10% and further 10% comes from a regional and 10% from a municipal budget. There is a clear presentation of the whole organizational structure for Croatia and Austria along with the institutional background. The Croatian Waters are a state-owned company in charge of water management, controlling extraction and financing investments. The Water Management Financing Act describes a financing of the sector through the complex tariff system. The Water Management Strategy and the Implementation Plan for Water Communal Directives describe future of the Croatian water utilities through deep analysis of the sector. They are dealing with water utility reform and investments in a water sector for achieving the EU standards. When talking about infrastructure there should be appointed that 99% of the Croatian citizens has an access to piped water from whom 81% is connected to a public water supply, 4% are on local water supply systems (systems made for small entities) and the rest are regularly filling their own wells or reservoirs to provide themselves a water. Smaller cities and villages have established local water supply systems to provide a drinking water through a local water supply company founded by the local population. They are out from monitoring for hygiene compliance and not paying the state fees defined with the Water Management Financing Act. Leaking as the most prominent indicator in efficient water losses management has been analysed for Croatian and Austrian utilities along with the South African example for managing water losses. With the ILI under 8 for 89% of tested utilities and the ILI under 2 for 42% of tested utilities Austria has almost perfect results. Croatia has approximately 76% of utilities under 8 and only 20% under 2 in a total amount of tested utilities.