A novel synthesis strategy to prepare CeO 2 :Eu 3? nanophosphors and its luminescence behavior is reported. Different structural characterization techniques such as X-ray diffraction, transmission electron microscope and thermogravimetric analysis reveal that thermal decomposition of oxalate precursor is an effective pathway to produce rare earth oxide nanocrystals. Optical characterizations of the CeO 2 :Eu 3? were done by UV-Visible absorption, photoluminescence excitation and emission spectra. The presence of structural defects and their role on the band gap and luminescence were discussed on the basis of absorption and emission studies.