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Finances of the Islamic State – Khorasan Province
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The Islamic State's Khorasan Province (ISIS-K) has historically relied on three primary sources of funding: payments from ISIS-Core, local taxation, and international donations. In a 2015 interview, an officer of Iran's Islamic Revolutionary Guards Corps (IRGC) commented that ISIS-K's real source of power in the region was in the organization's financial wealth. From its origins in 2013 to the present day, ISIS-K's monetary wealth has made it an attractive alternative for fighters unsatisfied with lower paying militant groups including TTP and the Afghan Taliban. Mirroring ISIS-Core and sister ISIS branches, ISIS-K's finances are managed by the province's Finance Commission.
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At the core of ISIS-K's financial framework was the support received from ISIS-Central or the broader ISIS network. This internal coordination ensured a steady flow of funds to ISIS-K, strengthening its operational capacity. While the exact mechanisms of this financial relationship remain covert, the financial backing from the central leadership underscored the interconnected nature of various ISIS factions.
In the territories under its control, ISIS-K implemented a taxation system, imposing levies on local populations and businesses. This strategy allowed the group to extract resources directly from the communities it governed, showcasing a degree of financial autonomy within specific operational zones. The revenue generated through local taxation contributed to the group's self-sufficiency.
External and international funding constituted another crucial component of ISIS-K's financial ecosystem. The group attracted donations from sympathetic patrons, including wealthy individuals from Gulf countries like Qatar and Saudi Arabia. This external funding, coupled with collaborations with individuals willing to contribute resources, provided an additional layer of financial support. Moreover, engaging in criminal enterprises, such as human trafficking and smuggling, further diversified ISIS-K's funding sources, demonstrating adaptability in sustaining its operations.