Major progress towards implementing a self-sufficient extension service within the DNOCS Directorate of Fisheries and Fishculture was made during the second semester of the present contract. The most meaningful advance was the naming of a permanent, trained DNOCS fishculturist to head the fish culture extension service. Other developments include the initiation of fish pond construction on a private farm, and contact and discussion with the Banco do Nordeste Brasileiro (Bank of the Brazilian Northeast) concerning loans for private farmers for investment in intensive fish culture. This progress has brought the USAID fish culture extension assistance project closer to the contract goal of developing an efficient and independent fish culture extension service within the DNOCS.