The final report of a project group representing the 18 member countries of the Council of Europe Council for Cultural Co-operation investigates education and cultural development of migrants. The report discusses methodology and reasons for selecting an intercultural approach to migrant education in terms of interculturalism's basic elements: society is multicultural and will become more so, each culture has its own specific features to be respected, and multiculturalism is a potential asset if communication and interaction occur among all cultures without obliterating the identity of any culture. The report establishes facts/trends of European immigration; demonstrates how immigration transforms social/cultural environments and challenges education systems; clarifies concepts such as culture, multicultural education, ethnic identity, negotiability of values, and integration/social cohesion; discusses prerequisites for success of educational/cultural projects; and identifies ideal settings and principal agents for implementing immigrant education projects. A summary of the group's work includes predictions and implications for future development of migrant education including emergence of transcendent cultural forms and increased opportunities for social promotion resulting from better education/economic situations. The report offers recommendations for intercultural education and follow-up activities to this project. A glossary of immigration terms, an interim report explaining the choice of the intercultural approach, and lists of project members, documents, and meetings are appended. (LFL)