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This study makes a diagnosis of the city of Caxambu, in terms of physical, biotic and socio-economic and presents the problems and the important points to the municipality to restart the function to attract businesses, thoughts and actions towards its main economic and tourism topics. Caxambu is favorably positioned in the geographical context of the state of Minas Gerais, but the lack of a democratic and technical planning has made the city lost the focus of its development. Surrounded by attractive factors such as mountains, waterfalls, remnants of rainforest and cerrado, in addition to its mineral waters and its friendly people, not only Caxambu, but all municipality members of the Circuito das Águas have a lack of incentive
by the planners of the public, private , academics and NGOs sectors. For the true potential that exists in the southern region Minas Gerais don’t be a distant possibility of more development.