Identification of groundwater potential areas (GPA) is important in regions facing surface water scarcity, as it assists in effective planning and utilization of groundwater for various purposes. This study employs the methods of remote sensing (RS), geographic information system (GIS) model, and analytical hierarchy process (AHP), multi-criteria decision analysis (MCDA) to locate and map the prospective groundwater areas in the Kulfo-Hare watershed. Seven significant groundwater influencing factors were selected for the determination of groundwater potential in the area: Geology, land use/land cover (LULC), soil, rainfall, slope, drainage density, and lineament density. By applying a five-class classification scheme (very low, low, moderate, high, and very high), the GIS models were used to define the distribution of groundwater potential areas in terms of area coverage (km²), percentage and mapping. The results show that the groundwater potential (GWP) distribution in the research region is as follows: 9.7% (6 035.9 ha) classified as very high GWP, 29.6% (18 606 ha) classified as high, 24.5% (15 245 ha) classified as moderate, 18.1% (11 431 ha) as low and 18.1% (11 492 ha) very low GWP, on the basis of the weighted overlay evaluation. Although a few regions are identifies as extremely low GWP, most of the study area is characterized by very high to moderate GWP. These findings provide valuable insight for sustainable groundwater planning by the government bodies, decision-makers, and private sectors.