The Water Splashing Festival, held by the Dai Nationality in the sixth month of the Dai calendar (in the middle of April), is the grandest ceremonial occasion for the Dai. It is also known as the festival for bathing Buddha. The festival is related to the Buddhist legend of dragon sprinkling fragrant showers on Lord Buddha at his birth. The Buddhist legend has gradually been mingled with the customs of the Dai people since their conversion to Buddhism. Currently, the festival is a combination of the Flower Collecting Festival and the Water Splashing Fair.

At present, Water Splashing Festival is a traditional festival for the Dai people in Xishuangbanna and other places to celebrate Dai Calendar New Year, and to give best wishes to each other. The festive activities include bathing Lord Buddha, sprinkling water onto each other for good fortune, dragon boat racing, launching rockets and the Kongming Lantern, going to the fair, etc. Young girls dance the Peacock Dance accompanied by the elephant leg drums. Young boy and girl throw a finely embroidered purse to the person he or she is in love.