Terror group Al Shabaab has devised new efficient ways to make money and remain in operation.
According to National Counter-Terrorism Centre, sympathisers are now using mobile money to fund the terrorists.
Locally, Al Shabaab thrives on taxation and illegal sale of charcoal.
The Organised Crime and Corruption Reporting project estimates that the group earns about Ksh700 million from smuggling charcoal to the Middle East every year.
“The group derives its revenue from a variety of domestic sources, primarily taxation on transiting vehicles and goods, business and agriculture and forced zakat (alms).
"The funds are then at the disposal of the head of Al Shabaab department of finance and its governing council to distribute to other departments,” a report by United Nations Security Council.
Globally, it is funded by other terrorist groups, states, charities, the Somali diaspora, kidnapping and extortion of local businesses and farmers.
“At one point in Bay region, it is estimated that Al Shabaab generates approximately Ksh1 billion per year by taxing transiting vehicles and goods," the report notes.
Collection of the taxes is enforced through violence and intimidation.
Al Shabaab’s financial operations are facilitated by the services provided by poorly regulated domestic telecommunications and financial entities.
