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Should companies or high profile individuals make political party donations?

12 August 2019 7:18 PM
Tags:
African National Congress
Political party funding
President Cyril Ramaphosa
Associate professor at Gordon Institute of Business Science Gavin Price advises against it.

Should companies or high profile individuals donate money to political parties or individual campaigners?

According to associate professor at Gordon Institute of Business Science, Gavin Price, the decision may signal a lack of neutrality.

RELATED: Khuselo Diko: President 'categorically' did not lie to Parliament or public

ALSO RELATED: Magda Wierzycka categorically denies Sygnia made corporate donations to CR17

Price says business should be full aware of the consequences

Generally speaking as a principle, I would suggest no. The risks, as we are starting to see, far outweigh in many instances the rewards from doing so.

Prof Gavin Price, Associate professor - Gordon Institute of Business Science

I think there is a close association between good corporate responsibility and political neutrality. The moment you donate to one political party, you are signalling to all your stakeholders, a lack of neutrality.

Prof Gavin Price, Associate professor - Gordon Institute of Business Science

Whether it is legal? Yes you can but if you do, you must do it fully aware of the consequences. What is the cost of losing business because you are perceived to trying to influence a political policy or whatever the case may be. Questions will always be asked as to your motive for being engaged in the first place.

Prof Gavin Price, Associate professor - Gordon Institute of Business Science

Price suggests it is better to be transparent about the donation.

The moment you do it on a basis where you hope it does not get discovered and then you are in the backfoot trying to defend, you are probably in the space where you were better off having not given any money in the first place.

Prof Gavin Price, Associate professor - Gordon Institute of Business Science

Responding to recent reports about President Cyril Ramaphosa's alleged campaign donors, Political Futures Consultancy's political economy analyst Daniel Silke says perhaps the onus is on the president to come out 'in a much bolder way' and be more transparent around issues related to South Africa's political economy.

It is time, I think, for much bolder leadership from the president, otherwise you become a victim, you become susceptible to this kind of innuendo and false news accusations that we have. The last thing thing you want is to have the narrative dictated to by the twitter feed in South Africa.

Daniel Silke, Political economy analyst - Political Futures Consultancy

Click on the link below to hear the full conversation...


This article first appeared on 702 : Should companies or high profile individuals make political party donations?


12 August 2019 7:18 PM
Tags:
African National Congress
Political party funding
President Cyril Ramaphosa