JIP Helps LDP on Regulation of Donation

The Diet could not conclude on regulation for political donation from companies and organizations in the extraordinary session which was closed on December 17th. While the opposition parties encouraged to promote their bill, the leading coalition of Liberal Democratic Party (LDP) and Japan Innovation Party (JIP) blocked it. JIP changed their stance from advocating stricter regulation on the donation to indifference on this issue after the party formed a coalition with the LDP.

Regulation on the donation was the hottest issue in 2024 extraordinary session, after the slush fund scandal of factions in the LDP shook the ruling party. Then prime minister Shigeru Ishiba promised to the opposition party that he would conclude this issue by the end of March, 2025. Nevertheless, the LDP has been reluctant to keep the promise and the issue was passed over from 2025 ordinary session to extraordinary session in the fall.

 

Five opposition parties, including the Constitutional Democratic Party of Japan (CDPJ) and JIP, submitted a bill to prohibit the donation from companies and organizations to political party to the Diet in March. The Democratic Party for the People (DPP) and Komeito also sponsored another bill, which would limit the donation to headquarters and prefectural branches of the party. Those bills were succeeded to 2025 extraordinary session.

 

As an advocator of prohibiting the donation, JIP included the issue in its platform for Upper House election in July. However, the party included elimination of that donation in the agreement for coalition with the LDP in October, which postponed the conclusion on this issue to September 2027, when the term of LDP president Sanae Takaichi would expire.

 

At the beginning of negotiation for the coalition, JIP has been serious about prohibiting the donation. However, the party shifted its focus from the donation to reduction of seats in the Houses. The leader of JIP, Hirofumi Yoshimura, began to call the reduction “head pin” of political reform. It was likely that JIP considered reluctance of the LDP on this issue and stopped pushing it.

 

JIP’s change of attitude was outstanding. The special committee on political reform in the House of Representatives is chaired by the CDPJ. While the chairman was coordinating procedure of the bills for political donation, JIP proposed a unilateral move to finish the discussion on the donation, knowing no bill would achieve a majority. JIP wanted to discuss seat reduction in the committee, leaving conclusion of the donation behind. JIP faced sharp accusation from the opposition parties.

 

Prohibiting donation from companies and organizations has long been discussed from 1990s. The LDP has been lazy to implement it, because the prohibition may destroy the system of collecting political funds from business sectors. With help of new coalition partner, JIP, the LDP was successful in blocking a bill, which had a crucial meaning for them.

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