As requested in decision 81/1 adopted by the Governing Council at its twenty-eighth session in June 1981 this report contains a short analytical review of the use of volunteers in the development process. After tracing the evolution of the UNV programme since its inception in 1971, the report attempts to define succinctly the role of UNV in current international development co-operation activities and projects its potential future role in the light of past experience, bearing in mind the requirements of external cooperation to be accorded priority during the Third United Nations Development Decade. Also included are notes on two other policy issues: support costs and recruitment. Finally, the Report discusses a proposed interim solution to the problem of financing external costs of volunteers, on which the Council is requested to take a decision.