The purpose of the article is to define features and components of implementation of functions of classical and modern management in the sphere of water economy as a determining factor of revival of the branch at a new level. Research methods. The methodological base of research is made up of general theoretical and special methods, which give an opportunity to solve scientific problems. In the process of research, the following methods have been used: dialectical methods of learning about processes and phenomena; monographic (analysis of foreign experience in financing water sector); abstract-logic (theoretical generalizations and conclusions); system generalization, analysis and synthesis (analysis of the current state and problems of the sector and its components, analysis and generalization of activities within each function of water management, identification of sources of financing water projects, etc.), grouping method (determination of the content of works within the framework of the water sector). Research results. The main activities and content of works implemented within the framework of general functions of water management - planning, coordination and organization, motivation, control and regulation, leadership - were defined. Features of realization in modern conditions of Ukraine of separate special functions of water management - financial, investment, project are considered and analyzed. Scientific novelty. The theoretical basis for the implementation of management functions through their adaptation and specification of the content in accordance with the specific features of the water sector has been further developed. Practical significance. Complex and systematic implementation of water management functions at the level of state water management bodies and water management organizations will allow to revive the industry at a new level and ensure its stable and profitable functioning under modern economic conditions. Tabl.: 1. Refs.: 19.