According to the annual audit report of the Bharatiya Janata Party (BJP) for the fiscal year 2023-24, electoral bonds were the predominant source of funding for the party.
The BJP garnered an impressive ₹1,685.6 crore via electoral bonds in FY 2023-24. This figure marks the highest ever annual income from electoral bonds reported by any political party, constituting approximately 38 percent of the BJP’s overall income of ₹4,340 crore as of March 31, 2024.
This information is contained in the BJP’s annual audit report, which has been made available on the website of the Election Commission of India.
It is noteworthy that 2024 was an election year, during which the Lok Sabha elections took place in seven phases from April 19 to June 1, with results announced on June 4. The BJP-led National Democratic Alliance secured victory once again, with Narendra Modi taking office as Prime Minister for a historic third term.
The Decline in Bond Revenue
However, the proportion of income derived from electoral bonds diminished for the BJP in FY 2023-24 in comparison to the previous fiscal year. The party had received ₹1,294.14 crore from electoral bonds, accounting for 54 percent of its total income of ₹2,360 crore in FY 2022-23.
In February 2024, the Supreme Court ruled the Electoral Bond scheme for political donations unconstitutional, leading to its cancellation.
A report by the election watchdog, the Association for Democratic Reforms (ADR), highlighted that since FY 2017-18 until FY 2022-23, the BJP had amassed a total of ₹65,66 crore through electoral bonds, whereas the Congress party collected ₹1,123.3 crore.
The Electoral Bond scheme, introduced by the government on January 2, 2018, aimed to replace cash donations to political parties to enhance transparency in political financing.
Electoral bonds are financial instruments that citizens or organizations can purchase from banks and contribute to political parties, which can then cash them in at their discretion.
Additional Sources of Revenue
Electoral bonds represent the most significant donations the BJP has received through voluntary contributions. In FY 2023-2024, the party accumulated ₹3,967.14 crore in voluntary donations, a notable increase from ₹2,120.06 crore in FY 2022-23.
As previously mentioned, the Supreme Court ruled the Electoral Bond scheme unconstitutional in February 2024.
In FY 2023-24, the share of electoral bonds represented 43 percent of total donations to the BJP, a decrease from 61 percent in FY 2022-23.
In addition to electoral bonds, the BJP received ₹236.3 crore from Aajiwan Sahayog Nidhi and ₹2,042.7 crore from other contributions. Individual contributors added approximately ₹240 crore; corporate donations amounted to ₹1,890 crore, while institutions and welfare bodies contributed ₹101.2 crore, according to the audit report.
