The Framework Agreement on the Sava River Basin—FASRB (2002) is the first regional (river basin) agreement, except the Dayton Peace Agreement (1995), concluded by the countries originated by the decomposed Socialist Federal Republic of Yugoslavia (SFRY). The conclusion of the FASRB was strongly supported by the international comunity, acting intensively in the Balkan region after the wars in the nineties. This Agreement is an example of positive development in managing of natural (i.e. water) resources in a post-war period. The different phases and aspects of drafting, negotiation, signature, ratification and implementation of the Framework Agreement on the River Sava Basin are presented here. The paper contains brief data on the geographical, historical and political features of the Sava River Basin, on the former Yugoslavia disintegration, on the Stability Pact for South Eastern Europe’s role in the proces of drafting the Agreement as well as on the Sava Initiative description. The paper also contains details on the goals, general principles, areas of cooperation, mechanism of cooperation, monitoring implementation dispute settlement, protocols, the Statute of the International Sava River Basin Commission and the dispute settlement provisions. A separate part of the paper comprises some details on the current status of cooperation in certain fields covered by the Agreement, including the status of (inland) navigation, with brief references on the FASRB implemenation in the Republic of Croatia. The efforts on the unification of the basic navigation rules, establishment, maintenance and improvement of the uniform waterway marking system as well as on the rehabilitation and development of the Sava River Waterway and development of the River Information Services are presented. The activities concerning water management issues such as the development of the Sava River Basin Management Plan, the establishment of a system of measures, activities, warnings and alarms in case of extraordinary impacts of the water regime caused by pollution or floods, ice occurrence, droughts and water shortages, the establishment of an integrated information system, as well as provisions regulating dispute settlement are highlighted. Activities on drafting new treaties, in terms of Protocols to the FASRB, are also reviewed.