What are the benefits of electoral bonds for political parties

Electoral bonds promote ‘clean money’ donations to political parties.
  • Transparency: Electoral bonds promote transparency in political funding as they require the donor's identity to be disclosed to the issuing authority, such as a bank, and the concerned political party.
  • Accountability: Political parties are required to disclose the amount received through electoral bonds in their annual reports, ensuring they are accountable for the funds received.
  • Eliminate black money: Electoral bonds promote the usage of clean money for political donations and aim to reduce the influence of black money in politics.
  • Legal framework: It provides a legal framework for political donations and ensures that contributions are made through legitimate channels, reducing the chances of illegal funding.
  • Encourages transparency in donations: By promoting digital transactions, electoral bonds reduce the dependence on cash donations, making the entire process more traceable and transparent.
Overall, electoral bonds aim to bring about cleaner and more accountable funding to political parties, ensuring transparency in the process and reducing the potential for corruption.
Answered 2 years ago
Amit2 Aspirants