Corporate funding triples after electoral bonds scrapped, BJP corners ₹3,112 crore

In the first full financial year after the Supreme Court struck down the Central government’s anonymous electoral bond scheme, corporate donations to political parties routed through electoral trusts have more than tripled, rising to ₹3,811 crore in 2024–25. The overwhelming beneficiary of this surge is the Bharatiya Janata Party (BJP), which received ₹3,112 crore — over 82% of the total.

Contribution reports submitted to the Election Commission of India (ECI) show that the Congress received ₹299 crore, accounting for just under 8%, while all other parties together received around ₹400 crore, or roughly 10%.

The figure marks a sharp rise from ₹1,218 crore in 2023–24, reflecting an increase of more than 200% in trust-based political funding after the apex court declared the electoral bond scheme unconstitutional in 2024.

Trusts replace bonds as key funding channel

Of the 19 electoral trusts registered with the ECI, contribution reports from 13 trusts were available as of December 20. Nine trusts reported donations amounting to ₹3,811 crore, while four — Janhit, Paribartan, Jaihind and Jaybharath — declared nil contributions for the year.

While political parties continue to receive funds through multiple legal routes, electoral trusts have emerged as a dominant and transparent channel, requiring disclosure of both corporate donors and political beneficiaries — a sharp contrast to the anonymity that defined electoral bonds.

Prudent and progressive fuel BJP’s windfall

The Prudent Electoral Trust emerged as the single largest donor. Of its total donations of ₹2,668 crore in 2024–25, nearly 82% — ₹2,180.07 crore — went to the BJP. The trust received funds from major corporates including Jindal Steel and Power, Megha Engineering and Infrastructure Ltd, Bharti Airtel, Aurobindo Pharma and Torrent Pharmaceuticals.

The Progressive Electoral Trust raised a corpus of ₹917 crore during the year and donated ₹914.97 crore, with 80.82% of that amount flowing to the BJP. Its principal contributors were Tata group companies, including Tata Sons, Tata Consultancy Services, Tata Steel, Tata Motors and Tata Power.

Smaller trusts, similar tilt

Other trusts also showed a pronounced preference for the ruling party. New Democratic Electoral Trust, funded by Mahindra & Mahindra group companies, donated ₹150 crore out of ₹160 crore to the BJP. Triumph Electoral Trust, which received ₹25 crore, contributed ₹21 crore to the BJP, with CG Power and Industrial Solutions Ltd as its largest donor.

Some trusts adopted a more balanced approach. Jankalyan Electoral Trust, funded entirely by Forever Business Solutions, split its ₹19 lakh contribution equally between the BJP and the Congress. Janpragati Electoral Trust, funded by KEC International Ltd, donated ₹1 crore to Shiv Sena (UBT).

Harmony Electoral Trust received ₹35.65 crore and donated ₹30.15 crore to the BJP, including ₹15 lakh to the party’s Pune unit. Its key donors included Bharat Forge Ltd (₹22 crore), Saarloha Advanced Materials Pvt Ltd (₹8 crore) and Kalyani Steel Ltd (₹5 crore).

Post-bond era reshapes political finance

In 2023–24, the BJP had received ₹3,967.14 crore in voluntary contributions, of which ₹1,685.62 crore (43%) came through electoral bonds. With that channel shut, companies can now donate only through cheques, demand drafts, UPI or bank transfers, all of which must be declared in contribution statements and audited reports filed with the ECI.

The dramatic rise in trust-based donations highlights how corporate political funding has rapidly restructured itself in the post–electoral bond era — replacing anonymity with disclosure, but continuing to flow decisively in favour of the party in power.