This report summarizes research on solar activity over an almost three-year period from January 1, 1979, till the end of June 1981. In preparing this report we respected the advice of the I.A.U. Executive Committee to cover the highlights of work carried out in the field of solar physics relevant to our Commission, and avoiding double work. Only a limited space was made available for our Commission. Given this restraint we tried to produce a comprehensive review. With great pleasure I appreciate the excellent cooperation of the members of our Executive Committee in the preparation of this report.