Inland waterways play an important part of transport system in India since early times. However with the expansion of road and railway its importance have been reduced. But now there has been a growing consciousness that inland waterways can form an integral and alternative means of transport network, since it is one of the most convenient, cheapest and environment friendly means. Assam situated in North-eastern part of India has immense possibilities of developing a compatible network of Inland waterways. The Brahmaputra river system forms an integral part of this network. And the area of Guwahati city due to its economic and administrative experiences high traffic of passenger and cargo in the inland water ways. This study is an attempt to study the present efficiency of inland water transport system, problems faced in different aspects and also about the future prospects and will try to suggest some measures to make it most efficient in catering to the needs of people. Both primary and secondary data have been considered for the purpose.