The increase water demand for irrigation is leading to the use of low-quality water resources. The combined impact of drought and salinity on olive production sustainability, yield quality, growth, soil salinity and soil water conditions in arid areas has been little investigated. This study’s purpose was conducted to investigate the effects of the monitoring of saline water irrigation on soil properties and olive trees (cv. Chemlali) grown in an arid region of Tunisia (Sfax), on the potential yield, growth and quality of the resultant virgin olive oil in comparison to Rain-fed conditions. It is also intended to compare olive productive performance during a severe drought with, and without, irrigation and to assess recovering capacities after long driest period. Three irrigation levels were considered: (i) Full irrigation (100%ETc) with saline water 7.5 dS m-1 (FI); (ii) Full irrigation with same amount of water than the FI applied with tap water 2.46 dS m-1 (TW); and (iii) Rain-fed conditions (Dry). The results have showed that irrigation with saline water maintained the soils permeability, induced the distribution of salts outside the root zone. Additionally, it has maintained an adequate hydration of the rhizosphere through continuous and efficient leaching of salts to deep horizons. After drought period, the increase of the yield of rain-fed trees indicated 50% of recovery as compared to saline water. Irrigation with saline water reduced this gap due to drought impact. But it was 50% under that tap water; while reduction was 15% as a reduction capacity of potential yield. Hence, drought and salt stress alter the olive tree capacity and potential yield in an irreversible way if their severity is very intense. As salinity increased, there was a desirable sink in measured total phenols and flavonoids levels and a rise of oleic and linoleic acids as compared to rainfed conditions. For the triglycerides composition, triolein (OOO) was present in very large quantity in three oils, with a high content for FI (23.94%). Saline water treatment did not affect free acidity, peroxide value, K232, K270, chlorophyll, carotenoids, in contrast to Rain-fed treatment which was decreased. Olive trees permanently lost less than half of their potential yield during drought without irrigation. Irrigation with saline water seems to ensure sustainable monitoring olive yield and oil quality.