The Least developed countries (LDCs) are a group of countries that have been classified by the United Nations as least developed in terms of their low GDP per capital, their weak human assets and their high degree of economic vulnerability. This report assesses recent trends in growth and poverty in these countries, as well as changes in terms of development partnership. The Strong growth performaance of LDCs as a has been one of the most encouraging features of the global economy so far in this decade. Their economic expansion since 2000 has been stronger than in the 1990s, and a spurt of growth in 2005 and 2006 gave LDCs their strongest growth performance for thirty years. Against this background, the report asks: How sustainable is economic growth and how many LDCs are participating in the growth surge? To what extent is economic growth leading to improvements in human well-being? in particular, how much is rapid gorwth translating into accelerated poverty reduction and improved progress towards the Millennium Development Goals? To what extent do LDCs have effective leadership and ownership in the design and implementation of their national development strategies?