In the Paris Declaration, donors and partners committed to monitoring their progress in improving aid effectiveness against 56 specific actions, from which 12 indicators and targets were set for 2010. This report presents the findings and recommendations of the first round of monitoring that was conducted in 2006 on the basis of activities undertaken in 2005. The conclusions of this report are based on a survey of 34 self-selected countries, and a comprehensive list of donor organizations covering 37 percent of aid programmes across the world in 2005. The report shows that in half of the developing countries signing on to the Paris Declaration, partners and donors have a long road ahead to meet the commitments they have undertaken. Key implications of the survey include higher expectations for reform, deeper ownership and more accountable institutions, and increasing aid efficiency together with donor harmonization. The authors suggest that aid effectiveness issues and results need to be discussed more explicitly at the country level and credible monitoring mechanisms need to be developed.