From Oct. 17 to 26, 2002, an auditing team composed by Mr. Dong Zhiming, Chief of Auditing Division of CICETE and Mr.Wang Shicai, Programme Officer of Division II of CICETE visited three counties of Songpan, Heishui and Maoxian of Sichuan province to conduct internal auditing on utilization Micro-Finance capital and as well as internal inspection on their Management Organization of Micro-Finance. In the meantime, the team also inspected the account details of the Sichuan provincial manage office of MF.

The Sichuan provincial management office has allocated all MF capital to the above-mentioned counties, which was used properly.

The found that and MF is warmly welcome by the local clients, the poorest farmer in that area. The clients' living standard were improved through using MF. The MF has deeply affected the life and brain. More and more farmers are applying for MF and also suggest that the amount of lending may be enlarged.

All the above-said achievements were benefited from strong technical support to the local management of MF， especially the training on finance and other related knowledge to project management personnel and community coup.

The project management personnel expressed that they will continue to upgrade the operation quality and they also need further technical support so that the pilot project can be going smoothly to strengthen the sustainable process of MF operation in China.