European governments provide over half of the world's development aid and in 2005 they pledged further increases to aid levels in order to help fight world poverty

This report shows that nearly one third, of reported European aid in 2005 did not provide any new aid resources for developing countries. This vast amount of apparent aid spending was in fact money for debt cancellation and for refugees and students costs in donor countries.

This report calls for better aid reporting, since high quality aid is vital for the fight against poverty and enables