Recent development of quantum Monte Carlo (QMC) methods and their appl
ications will be presented. The methodology of construction of many-bo
dy correlated wave functions will be briefly described together with t
he variational and diffusion Monte Carlo methods. Several applications
of QMC such as energy ordering for Si and C cluster isomers and cohes
ive energies and excitations in insulating solids will be mentioned. O
verall, the QMC methods are currently applicable to a few hundred vale
nce electron sp systems with statistical uncertainties of the order of
0.1 eV for energy differences and decrease errors of mean-field metho
ds by a factor of 5-10 when compared with available experiments. Compa
risons with other explictly correlated methods indicate the QMC advant
ages in the efficient description of correlation effects and scaling i
n the number of electrons. The variety of treated systems demonstrates
the usefulness and wide applicability of this approach. These advanta
ges together with the obtained results show that QMC is becoming a pow
erful predictive tool and a new alternative for ab initio electronic s
tructure calculations.