South Africa’s evolving political funding framework considering the Political Funding Act (PFA) No. 6 of 2018. The PFA was enacted to promote transparency, accountability, and fair competition in the financing of political parties and independent candidates and representatives. The legislation makes the disclosure of large donations mandatory, regulates both public and private funding, and established mechanisms such as the Multi-Party Democracy Fund (MPDF). With implementation beginning in 2021 and amendments made in 2024, the Act is aligned with constitutional imperative to support a multiparty democracy. The study, overseen by the Commission’s Political Funding Unit (PFU) and the Research and Knowledge Management (RKM) Unit, explores the effectiveness of the current regime and identifies areas for potential policy improvement. More specifically, the research study aimed to address several key research questions to guide discussion on the future of political funding regulation in the country. It examines the appropriate institutional role and capacity requirements for effective oversight and enforcement, and the under utilisation of the MPDF. It also assesses whether political funding mechanisms have advanced (or hold the potential to promote) gender equity in political representation, evaluates the adequacy of current disclosure thresholds and donation limits, considers the potential for tax and other incentives to encourage private contributions, and debates whether South Africa should consider shifting from an income-based to an expenditure based regulatory model to improve funding transparency. The findings are intended to inform upcoming nation.
Human Sciences Research Council (Fri,) studied this question.