Electoral funding in India is fraught with the double whammy of legal loopholes and lack of political will to draw inefficiencies. In this context, discuss the challenges faced in electoral funding. What lessons can India draw from global best practices in this regard?

Electoral funding is key to fighting and ensuring elections. However, electoral funding from unauthorized sources fortified proper regulation has the potential to disturb the level playing field, promote money and muscle power and criminalization of politics. Challenges in electoral funding: (1) Legal loopholes: a Political parties not covered under RTI, have escape scrutiny regarding trans-donors. b Erstwhile electoral branch scheme promoted secrecy in directions and removed cap on donations by corporates.

C At present donations below 2000 can be made in cash and donor names used not be disclosed. (2) Political inefficiencies: a Increasing money and muscle powers in politics. b Criminalisation of politics: Often criminals resort to illegal sources to fund election. (3) Overburdened judicial system (47 co-pending case) to look into cases of emasculated financiel. (4) Questions on independence of Central agencies => Limits their potential to investigate electoral funding issue. (5) Limited power and capacity of Election Commission to keep watchful eye on electoral funding.