GTP has been found to markedly enhance the formation of CDPdiacylglycerol in rat liver microsomes. The magnitude of the GTP stimulatory effect was influenced by the fatty acid composition of the phosphatidic acid substrate. Heat or proteolytic treatment of microsomal membranes prevented GTP from stimulating liponucleotide formation. Treatment of microsomes with low levels of detergent reduced the stimulatory action of the GTP. The increased synthesis of CDPdiacylglycerol obtained by the addition of GTP to the incubation medium is due to an increase in CTP:phosphatidate cytidylyltransferase activity, rather than to a reduction in the breakdown of either the substrates or product of the reaction. The results suggest that some other protein or enzyme mediates the effect of GTP upon CTP:phosphatidate cytidylyltransferase activity.