By Akani Nkuna
President Cyril Ramaphosa has signed into law amendments to the Political Party Funding Act, doubling the annual cap on private donations to political parties from R15 million to R30 million, and raising the disclosure threshold from R100 000 to R200 000.
The amendments, adopted by the National Assembly in May this year and formalised in a government gazette, were justified by government on the basis of inflation.
Ramaphosa’s assent comes despite a pending judgment in the Western Cape High Court on a challenge brought by NGO My Vote Counts (MVC).
MVC has argued that the donation cap should be lowered significantly from R15 million, and that all private donations should be disclosed, regardless of amount.
Donation limits were first introduced in 2018 when Parliament passed the Political Party Funding Act.
The law originally capped contributions to political parties and independent candidates at R15 million per year.
That cap was scrapped before the May 2024 elections, but in August 2024, the Western Cape High Court ordered Parliament to reinstate a limit and directed political parties to submit updated declarations to the Independent Electoral Commission (IEC) until a new ceiling was decided.
Meanwhile, the IEC’s manager for political funding, George Mahlangu, reminded parties last week in the Western Cape that all donations, even those below the disclosure threshold, must still be recorded in their annual financial statements.
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