Abstract: To alleviate the contradiction between water resource shortage and socio-economic development in central Yunnan, the current situation and challenges of water resources in the central region of Yunnan Province were analyzed, and an overview of the Central Yunnan Water Diversion Project and its role in water resource management was presented. The results show that the NSGA-Ⅲ multi-objective optimization model combined with a dynamic adjustment mechanism maximizes the overall benefits for water users and enhances water use efficiency. Ecological flow measures effectively improve the water quality of Dianchi Lake and other lakes, gradually restore ecosystem functions and increase biodiversity. The information management platform improves the transparency and scientific basis of water resources management, enhancing decision-making efficiency. After implementation, the project significantly improves the regional water supply-demand balance, fundamentally alleviating water scarcity. The water supply guarantee rate for urban and industrial use increases to 95%, and the annual guarantee rate for agricultural irrigation reaches 75%. By 2030, the project will effectively improve river ecological environments, enhance ecosystem stability and biodiversity, and provide important support for the coordinated development of regional economy, society, and ecology.