"वह पानी पीना चाहती है।"
Translation:She wants to drink water.
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That also works.
But note that verb-infinitive+है construction like 'उसे पानी पीना है' is idiomatic and can be used to express anything ranging from 'She wants to drink water' to 'She has to drink water' to 'She needs to drink water' depending on the context.
You can use the form with चाहना when you want to avoid ambiguity.