The Economics of Al Qaeda

July 28, 2011 in Daily Bulletin

Renny McPherson was part of a team that analysed Al Qaeda documents to understand the financial underpinnings of the shadowy terror network. In an article posted in Boston, he wrote about some of his findings:

  • Al Qaeda is run as a “well-organized franchise structure” where existing local terror groups from around the world take on the Al Qaeda name (with Al Qaeda’s permission), and are given the flexibility to adapt Al Qaeda’s goals to local conditions. Unlike a traditional franchise though, there were no payment transfers between the ‘parent’ organization and its subsidiary.
  • Al Qaeda in Iraq was not reliant on international donors. In fact, its local fund raising infrastructure was so strong that they were able to send funds to other terrorist organizations.
  • Launching a terrorist attack has several costs associated with it including: salaries, safe houses, transportation, weapons, and even life insurance for those who would be carrying out the attack.

There are several other fascinating points of information from a man who has had a long career studying this issue. Read more over here.

Source: Boston

Via: Marginal Revolution