Mkhize said political parties were subject to strict regulations that made funding transparency difficult.
Speaking to Sunday Times, Mkghize said donors feared making donations because of these regulations.
“You can’t on the one side have very strict regulation, and you don’t have a source [of income] on the other side. If you want to put regulation and transparency, you must know, that some people will fear [making donations],” Mkhize said.
“At the moment the party funding from parliament is very little compared to what we have to go out and raise,” he said.
In addition, Mkhize said the funding from the government should be used for political and administration work instead of caucus-related activity.
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