June 14, 2000
The Honorable William J. Clinton
President of the United States of America
The White House
Washington, D.C. 20500

Dear Mr. President:

Thank you for your observation, in your speech to the Russian Duma, that "local chambers of commerce have sprung up all across Russia." It is, indeed, heartening that you have highlighted this positive development. In fact, the Russian Federation Chamber of Commerce and Industry system has been growing dynamically, and in recent years the number of local chambers of commerce has almost doubled. This trend has emerged not only in big industrial centers but also in remote regions and small towns.

As Russia continues in its historic transition to a market-based democracy, it is essential to build on institutions that can provide some continuity while still serving as agents of change that will enhance Russian prosperity. As you know, chambers of commerce are one such institution. By serving as the voice of business, they play an indispensable role in the democratic and policy-making process.

In your speech, you went on to say that the most important Russian-American relationship remains the relationship between our peoples, including business partnerships and other forms of collaboration. We are proud to say that our two chambers have been cooperating as partners for several years now. We have personally visited each other's chambers in Moscow and Washington. We have built a strong relationship between the Russian Federation Chamber and the Center for International Private Enterprise (CIPE), which is an affiliate of the U.S. Chamber of Commerce. CIPE's Moscow office is located in the Russian Chamber's building, and it has a dedicated staff of two Russian citizens.

We have a current partnership project, which is funded by the U.S. Agency for International Development through the Eurasia Foundation. This partnership involves small grants to local chambers to launch innovative new products and services, training seminars on how to run a business association in a democratic society, and technical assistance on strategic planning. CIPE and the Russian Chamber also have participated in other productive initiatives, which have been funded by the National Endowment for Democracy. We are confident that our positive cooperation will continue to develop.

We are frequently asked to demonstrate the impact of our partnership. In this light, we are pleased to share with you the results of a recent survey we conducted of leaders of 19 regional chambers that had participated in our seminar training on "Russian Business Associations for the 21st Century." These leaders reported that since the seminar:

• 18 chambers have developed new services;
• 14 chambers have increased their level of contact with legislators,
regulatory agencies, and the media;
• 11 chambers have improved their financial and budgetary planning/ operations; and
• 18 chambers have gained new members.

These results show the positive and critically important steps that are taking place in Russia.

We are also pleased to enclose a book we published highlighting the results of an earlier partnership project.

Again, we thank you for recognizing the achievements of chambers of commerce in Russia.

                                                           Sincerely,

Stanislav Smirnov President Chamber of Commerce and Industry of the Russian Federation	Thomas J. Donohue President and Chief Executive Officer, U.S. Chamber of Commerce, and President, Center for International Private Enterprise