ANC stigma a turnoff to potential donors – Gwen Ramokgopa

ANC treasurer-general Dr Gwen Ramokgopa has expressed concern that the stigma against the ANC has made potential donors sceptical about dipping into their pockets to fund the former liberation movement.

Ramokgopa believes that the constant fingering of the ANC by opposition parties as bad has made the party of Nelson Mandela an undesirable organisation for people in business, for whom reputation and association are everything.

Ramokgopa said this during an engagement session with news media personnel at the Progressive Business Forum in Hyde Park, Johannesburg, on Tuesday.

Critical but stable

According to Ramokgopa, the ANC’s undesirable reputation, along with other limitations, is affecting the party’s financial position, which she described as critical but stable.

“Many companies are shy of funding political parties directly because of the immaturity of politics in South Africa. Even companies owned by people known to be ANC members are also reluctant (to donate to the ANC),” said Ramokgopa.

“Also, because opposition politics undermine brands of those associated with the ANC, and sadly for them, they would still need to thrive in the corporate world locally and abroad. So, if they become subjects of narrow politicking, their brands get hurt.”

Ramokgopa said the ANC’s financial woes were “most definitely” exacerbated by the Political Party Funding Act, which has crippling limitations.

Among other things is the provision in the act that anyone or any entity donating more than R100, 000 must publicly declare.

Businesses pulling out

This has led to businesses with financial resources and a belief in the ANC project withdrawing due to the stigma associated with being linked to the party. The act also bars foreign donors unless they fund training or research.

Ramokgopa stated that these issues have significantly impacted both the ANC and other political parties.

“What we have been doing is to encourage all progressive companies to contribute to the multi-party fund at the IEC. Because many companies have started contributing there instead of to individual political parties. And that is a better environment for them,” she said.

“We did not prepare for the Political Party Funding Act, although we knew it was coming. And the impact thereof on the ANC was quite significant when the law came into effect.”

The ANC has been facing various financial challenges since the act came into effect.

Staff salaries

Among other woes that have rocked the Pixley Ka Isaka Seme Street-headquartered party is its failure to pay staff salaries on time.

The ANC has also defaulted on paying service providers for some national events. These include the party’s anniversary celebration every January.

Ramokgopa refused to delve into the ANC’s financial books, which are also apparently used by her foes to de-campaign her when she is not the cause of the problem.

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