October 1, 2009
Corporations and industry groups have made large donations to political parties with the expectation of implementing favorable policies. After the inauguration of the Hatoyama Cabinet mainly led by the Democratic Party of Japan, what are corporations and industry organizations going to do?
The DPJ in its recent general election pledged to prohibit corporate and organizational political donations as long called for by the Japanese Communist Party. The DPJ, however, placed a three-year moratorium on enforcement of a ban on such donations.
The Japan Business Federation (Nippon Keidanren) provides its member companies with “report cards” rating the Liberal Democratic Party and the DPJ policies as a reference to decide on the amount of donations. Most of companies and industry groups chose the LDP which received more “A” ratings while the DPJ received “B” or “C” ratings.
The 2008 political funds report published on September 30 showed that the LDP’s political fund-managing organization received about 2.9 billion yen in corporate donations and about 400 million yen from industry groups. The DPJ collected about 130 million yen in corporate and organizational donations through its political fund-managing organization.
Regarding the issue of political donations under the new government, Nippon Keidanren Chairman Mitarai Fujio said, “It’s fine, if we can continue along the same course.” But, one major electronics company official stated, “In addition to the political power change, our business performance is on the decline. We must reexamine our political donation policy.”
The Japan Automobile Manufacturers Association composed of major automakers including Toyota and Nissan stated, “We will decide which political parties we make donations to based on the evaluation of policies. It is, however, necessary to review the amount of donations.”
Nippon Ishi Renmei, a political lobbying body of the Japan Medical Association and one of the LDP’s major financial supporters, also said, “We will think about what we will have to do from now.”
Because the DPJ proposed the prohibition of corporate and organizational political donations, some industry groups suggested reconsidering the role of political donations. But most of them seem to be taking a wait-and-see stance.
- Akahata, October 1, 2009
The Japan Business Federation (Nippon Keidanren) provides its member companies with “report cards” rating the Liberal Democratic Party and the DPJ policies as a reference to decide on the amount of donations. Most of companies and industry groups chose the LDP which received more “A” ratings while the DPJ received “B” or “C” ratings.
The 2008 political funds report published on September 30 showed that the LDP’s political fund-managing organization received about 2.9 billion yen in corporate donations and about 400 million yen from industry groups. The DPJ collected about 130 million yen in corporate and organizational donations through its political fund-managing organization.
Regarding the issue of political donations under the new government, Nippon Keidanren Chairman Mitarai Fujio said, “It’s fine, if we can continue along the same course.” But, one major electronics company official stated, “In addition to the political power change, our business performance is on the decline. We must reexamine our political donation policy.”
The Japan Automobile Manufacturers Association composed of major automakers including Toyota and Nissan stated, “We will decide which political parties we make donations to based on the evaluation of policies. It is, however, necessary to review the amount of donations.”
Nippon Ishi Renmei, a political lobbying body of the Japan Medical Association and one of the LDP’s major financial supporters, also said, “We will think about what we will have to do from now.”
Because the DPJ proposed the prohibition of corporate and organizational political donations, some industry groups suggested reconsidering the role of political donations. But most of them seem to be taking a wait-and-see stance.
- Akahata, October 1, 2009
