Abstract: The hydrolysis of olive oil catalyzed by Candida cylindracea lipase in Aerosol OT (AOT)/isooctane reverse micellar solution was studied. It showed that the fastest rate of hydrosis is reached when R (H_2O/AOT) equals to 9.8 and once the R value is fixed, the more water this system contains, the higher degree of hydrolysis reaches. The rate of hydrolysis increases, while the degree of hydrolysis decreases, as the concentration of olive oil is raised. The rate of hydrolysis with a moderate stirring, compared to that of control, is slightly enhancod while the stability of enzyme is decreased. After small amounts of glycine or glycerol were added, the enzyme stability will also be decreased, which is disadvantageous to the hydrolysis.