cash crunch

South Africa: Who is to blame for a cash-strapped ANC?

By Carien du Plessis

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Posted on August 2, 2022 08:24

South Africa’s ANC party holds national policy conference
File photo of South Africa President Cyril Ramaphosa giving an opening address during the African National Congress (ANC) national policy conference (REUTERS/Siphiwe Sibeko)

South Africa’s governing African National Congress (ANC) has been struggling to keep up with salary payments for its staff in the past year as anti-corruption measures have funders more cautious. Some have warned that the cash crunch could ultimately collapse the party.

President Cyril Ramaphosa’s detractors have indirectly blamed the funding crunch on him. Newly-elected KwaZulu-Natal secretary Bheki Mtolo tells The Africa Report that Ramaphosa managed to raise a rumoured R1bn ($60m) for his 2017 campaign to be elected president, yet he does not appear to have the same ability to attract funding now ANC staffers are going hungry.

“I’m not sure what makes them fail to raise money,” he says, pointing out that Ramaphosa sits on the party’s financing committee with its treasurer-general Paul Mashatile. “You need around R40m to run the ANC per month.”

Mtolo blames the Political Party Funding Act, which came into effect on 1 April last year, and says it should be revamped.

Greater party funding transparency

Former minister and ANC member Valli Moosa have pushed for greater transparency in party funding for over two decades and when the law was eventually

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