The annual report on educational programs administered by the Advisory Commission on International Education and Cultural Affairs updates the activities summary to June, 1977 and summarizes Commission recommendations on funding, exchange programs, commission organization, and other ongoing programs. The report is presented in six sections. Section I presents recommendations, including that the State Department increase appropriations for international education, the President fill commission vacancies, and Congress begin hearings on establishment of a Western Hemisphere Center. Section II outlines appropriation and organizational problems. Section III considers exchange programs with the Middle East, Africa, and China; cultural relations with Canada; U.S. support of UNESCO; implementation of the Helsinki Agreement; and international athletic programs. In section IV, commission membership and related matters are discussed, including meetings and activities of individual members. The future of the Commission as an advisory board is probed in Section V, based upon the assumption that the United States Information Agency and State Department cultural exchange activities will be amalgamated. The final section is made up of appended material such as reports, recommendations, and other statements issued by, or on behalf of, the Commission. (Author/DB)