NSW ALP scandal won't spark federal ICAC

A Labor Party donation scandal at the heart of explosive NSW corruption hearings is unlikely to push the federal government to strengthen its proposed integrity commission.

The ALP has been rocked by a Independent Commission Against Corruption inquiry into a $100,000 cash donation, which allegedly came from banned Chinese billionaire Huang Xiangmo.

As a property developer, Mr Huang was prohibited from making donations to NSW political parties.

The Morrison government is drafting legislation for a Commonwealth Integrity Commission while the Greens and a handful of independents want a watchdog with more teeth.

Federal Finance Minister Mathias Cormann doesn't believe the revelations boost the case for a new body beyond that already under consideration.

"We do have obviously a very significant framework already in place to fight any corruption, to ensure any corruption is appropriately addressed," Senator Cormann told Sky News on Friday.

"We've already indicated we will be strengthening that framework further."

Federal Labor has criticised the government for moving slowly to introduce a new federal anti-corruption body.

Senator Cormann said Attorney-General Christian Porter would release more details about the coalition's integrity commission "at the right time".

He said most Australians would have thought the days of political parties accepting cash donations in shopping bags were over.

"Prohibited donations in cash, on the face of it, to mask where the cash came from - pretty bad, pretty extraordinary," Senator Cormann said.