More than a year of U.S.-led airstrikes and financial sanctions haven’t stopped Islamic State from ordering supplies for its fighters, importing food for its subjects or making quick profits in currency arbitrage.
This is because of men such as Abu Omar, one of the militant group’s de facto bankers. The Iraqi businessman is part of a network of financiers stretching across northern and central Iraq who for decades have provided money transfers and trade finance for the many local merchants who shun conventional banks.
When Islamic State seized control of the region in 2014, the world’s wealthiest terror group made him an offer he decided not to refuse: You can keep your business if you also handle our money.
“I don’t ask questions,” said Abu Omar, whose money-exchange offices in the Iraqi cities of Mosul, Sulimaniyah, Erbil and Hit charge as much as 10% to transfer cash in and out of militant territory””twice normal rates. “Islamic State is good for business.”
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(WSJ) How ISIS' Secret Banking Network Prospers
More than a year of U.S.-led airstrikes and financial sanctions haven’t stopped Islamic State from ordering supplies for its fighters, importing food for its subjects or making quick profits in currency arbitrage.
This is because of men such as Abu Omar, one of the militant group’s de facto bankers. The Iraqi businessman is part of a network of financiers stretching across northern and central Iraq who for decades have provided money transfers and trade finance for the many local merchants who shun conventional banks.
When Islamic State seized control of the region in 2014, the world’s wealthiest terror group made him an offer he decided not to refuse: You can keep your business if you also handle our money.
“I don’t ask questions,” said Abu Omar, whose money-exchange offices in the Iraqi cities of Mosul, Sulimaniyah, Erbil and Hit charge as much as 10% to transfer cash in and out of militant territory””twice normal rates. “Islamic State is good for business.”
Read it all.