Politics Japanese political parties turn increasingly to online fundraising

As online fundraising services, including crowdfunding platforms, have become easier to use, political parties in Japan have been relying more heavily on internet-based donations. At the same time, specialists were reported to be warning that more detailed rules would be needed to make sure the flow of such funds remains transparent.

The Sanseito party, an emerging populist group that saw a big leap in the House of Councillors election in July with its "Japanese First" mantra, gained about 197 million yen ($1.3 million) from over 8,000 individuals in its crowdfunding campaign before the vote. The figure more than doubled from the 77 million yen that the party collected for the House of Representatives race in October last year through online fundraising, which usually involves small donations from individuals. A party official, whose organization gave thank-you gifts such as towels and umbrellas to donors, attributed the popularity of crowdfunding to its convenient way of "getting a sense of participation" in political activities.

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That's a staggering average contribution of 25,000 JPY from each of Sanseitō's more than 8,000 donors!

The Democratic Party for the People, a major opposition party that has surged in recent elections with pledges to boost the net income of working generations, also raised some 72 million yen in a crowdfunding campaign for the July upper house race. The DPP boasts of the popularity of its YouTube channel, with about 295,000 subscribers. Its leader, Yuichiro Tamaki, has been releasing online videos for a long time and calls himself the "YouTuber of Nagatacho," the political hub of Japan where the parliament is located.

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Reiwa Shinsengumi, an anti-establishment minor opposition force headed by former TV personality and actor Taro Yamamoto, reported around 16 million yen in advertising revenue from its YouTube programs in its 2024 political funds report, released last month.

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The communications ministry was said to acknowledge that there are currently no rules requiring parties to disclose online fundraising separately, meaning there is no clear way to determine how much of each party's donations comes from internet-based sources. Regarding YouTube, it was explained that whether advertising revenue is reported depends on each party's approach. Reiwa and Sanseitō listed it under "advertising revenue" in their 2024 political funding reports, while the DPP did not include it, as its YouTube content is not monetised and does not carry advertisements.