ISIS Militants Rake in $6 Million Through Extortion in Somalia

NAIROBI, Kenya – The relatively small yet menacing ISIS faction in Somalia has reportedly gathered nearly $6 million over the past couple of years, as highlighted in a recent report by the International Crisis Group (ICG). The report also points to the group’s ambitious endeavors to broaden its control.

Currently active in Northeastern State’s Bari region, the ISIS-linked faction comprises around 500 combatants, including several foreigners. Their strategy involves winning over locals by offering essential supplies, aiming to solidify and expand their influence.

However, despite their growing financial prowess, the exact nature and pathways of IS-Somalia’s monetary operations remain murky and largely untraceable, according to the ICG report.

“In the Northeastern State area, the group amasses funds by extorting businesses in Bosasso, a coastal city, and facilitates the export of small gold quantities mined in Bari. Since 2022, the U.S. government estimates ISIS-Somalia has accrued $6 million. Additionally, the group coordinates fund transfers among various ISIS offices and cells,” the report reads.

Further United Nations reports indicate that the money pipeline extends from ISIS’s old strongholds in Iraq and Syria to their African affiliates and beyond. Several informants have told Crisis Group that the faction has dispatched funds to the likes of IS-Khorasan Province in Afghanistan.

Such financial activities have drawn scrutiny from the U.S. government. In January 2023, a U.S. military raid in Northeastern State targeted and eliminated Bilal al-Sudani, alleged to be a key facilitator for the Al Karrar office, per the report.

U.S. Defense Secretary Lloyd Austin noted that al-Sudani “was instrumental in expanding ISIS’s footprint across Africa and in channeling funds for their global operations, including in Afghanistan.”

The exact impact of this operation on the group’s finances isn’t entirely clear, but IS-Somalia appears to have bounced back. Somali and international security officials note that the group continues its financial activities. Unlike Al-Shabaab, IS-Somalia operates on a modest scale in terms of sending funds to other jihadist factions overseas.

This May, another U.S. strike targeted ISIS-Somalia, resulting in the deaths of three militants, though the primary target, Mumin, evaded capture. Regional military forces in Northeastern State have successfully limited the group’s movement, confining them to the Golis mountains.

Interestingly, IS-Somalia is striving to recruit more foreign fighters, particularly from Yemen and Ethiopia. Conversely, U.S. Africa Command, in collaboration with local authorities, has been actively thwarting their attempts to infiltrate key areas.

Financially, IS-Somalia lacks the clout of their rivals, Al-Shabaab, who dominate central and southern Somalia. According to the United Nations, Al-Shabaab rakes in a staggering $130 million annually.

Out of this, $24 million is allocated for weaponry, with the rest covering logistical needs. The Somali government has developed various counterterrorism measures, such as closing bank accounts and banning mobile money transfers linked to Al-Shabaab, aiming to curb the group’s activities.

AXADLETM