Australia has been deemed the most generous country in the world by the 2012 World Giving Index (WGI), which looks at charitable giving trends worldwide.

The Index is compiled by the Charities Aid Foundation using polling information from the market research firm Gallup, which surveyed the charitable behavior of more than 155,000 people in 146 countries across the globe.

According to the CAF website, The Index is based on an average of three measures of giving behavior - the percentage of people who donated money to charity, volunteered their time to an organization, and helped a stranger, in a typical month. Based on interviews conducted in 2011, Australia had the highest levels of involvement in all three giving behaviors putting it at the number one spot.

Ireland came in second in the ranking, followed by Canada, New Zealand and the United States.

Helping a stranger war the most prevalent giving behavior while volunteering time was the least common. The study also showed that women are more likely to donate money than men, but men are more likely to volunteer time and help a stranger than women.

Overall, trends show a global decline in charitable giving with involvement falling between 2010 and 2011.

CAF "is an international registered charity in the United Kingdom. Its mission is to motivate society to give ever more effectively and help transform lives and communities around the world."

You can find the complete report here.