Abstract: This review contains the Main Findings and Recommendations of the Development Assistance Committee (DAC) and the report of the Secretariat. It was prepared with examiners from the United States and Australia for the Peer Review meeting held on 26 June 2007. The review noted that the European Community as a donor disbursed over USD 10 billion in official development assistance in 2006, while the European Commission plays a potentially important “federating” role for the institutions of all 27 Member States of the European Union. The DAC commended both the role of the Commission in reshaping its development co-operation and the progress made since the 2002 Peer Review in delivering Community assistance. It welcomed a 2007 policy that seeks better division of labour among the Commission and the Member States and the 2005 European Consensus on Development which outlines a common policy framework for them. The DAC noted a number of challenges facing the European Community, including: ensuring that European Union policies take forward the development focus of the Consensus; implementing these policies effectively at the country level; and continuing to reform the institutions and to simplify the procedures.