Ramaphosa approves R30 million annual donation cap for political parties in South Africa

President Cyril Ramaphosa has officially approved significant changes to South Africa’s political funding regulations, doubling both the annual cap on private donations and the threshold for disclosure, from R15 million to R30 million.

According to a proclamation published in the Government Gazette on August 6, Ramaphosa raised the maximum annual contribution a single individual or entity may donate to a political party.

Concurrently, the threshold below which donations are not required to be disclosed has been increased from R100,000 to R200,000.

These revisions follow a resolution passed by the National Assembly on May 20, acting on recommendations from Parliament’s Portfolio Committee on Home Affairs.

Ramaphosa exercised his authority under the Political Party Funding Act, which grants the president final discretion over such financial thresholds.

Civil society organisation My Vote Counts (MVC) has expressed deep concern over the changes, warning that the increased disclosure threshold could open the door to significant undisclosed contributions.

The organisation contends that this adjustment weakens transparency and potentially invites undue influence over political parties.

“Raising the ceiling means political parties can now accept R200,000 without disclosure—and a donor can funnel R30 million annually to each party of their choice,” MVC said in a statement, adding that the move risks eroding public trust in democratic processes.

The changes come amid ongoing legal proceedings brought by MVC in the Western Cape High Court.

The case, heard in February 2025, challenges both the rationality of the donation limits and the constitutionality of vesting final authority in the president to set them.

The new determinations follow last year's legal ruling that forced Parliament to reinstate the donation ceiling after it was temporarily removed ahead of the 2024 general election.

At the time, the court ordered parties to backdate and report donations exceeding the previous R15 million threshold to the Electoral Commission.

Electoral Commission of South Africa (IEC), George Mahlangu, stated last week that all political entities remain accountable under the law.

Even if a donation falls below R200,000, parties are still required to reflect it in their annual financial statements, he emphasised.

While proponents argue the updated limits reflect economic realities, critics warned they may weaken efforts to curb opaque political financing, especially in a volatile electoral landscape.

kamogelo.moichela@iol.co.za

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