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Political Party Funding Act in effect from April 1

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Political Party Funding Act in effect from April 1

President Cyril Ramaphosa

22nd January 2021

By: Thabi Madiba
Creamer Media Researcher and Writer

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President Cyril Ramaphosa announced on Friday the implementation of the Political Party Funding Act, from April 1, to strengthen public confidence in the democratic political process and assert the right to information.

Once in effect, the new Act will among others require that private party funding information be made public.

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“President Ramaphosa signed a Proclamation on the Commencement of the Political Party Funding Act, 2018 (Act no. 6 of 2018), which regulates public and private funding of political parties. The Act establishes funds to provide political parties represented in Parliament and legislatures with funding to undertake their work. It also requires that donations be disclosed by parties and donors to the Independent Electoral Commission,” the Presidency laid out.

The newly established Represented Political Party Fund will cover public funding for parties, while the Multi-Party Democracy Fund will cover funding from private sources.

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The Act will ensure that all political parties receive sufficient funds for their work fairly and equitably.

Ramaphosa said the new legislation formed part of his administration’s commitment to improving government transparency and accountability.

Further, parties cannot receive donations from foreign governments, agencies, persons or entities, organs of State or State-owned enterprises.

Party members may not receive donations other than for political party purposes.

However, parties can receive funding from foreign entities for training, skills development or policy development.

Government hopes to extend this transparent approach to all areas of government procurement.

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