Afghanistan: How do the Taliban Make Money?
The Taliban are thought to be one of the wealthiest insurgent groups in the world, and after two decades of fighting US and partner forces, the militants now control Afghanistan.
The Taliban are thought to be one of the wealthiest insurgent groups in the world, and after two decades of fighting US and partner forces, the militants now control Afghanistan. I am sure many of you may wonder, where does theTaliban get its money from? How much money do they have? Let me tell you about it. The United Nations (UN) estimated that the group's annual income from 2011 onwards has been around $400m.
According to BBC News by the end of 2018 this may have increased significantly, to as much as $1.5bn a year. BBC interviews carried out inside Afghanistan and abroad indicate the group is running a sophisticated financial network and taxation system. They have developed a number of income sources.
Several Afghan and US officials have long accused certain countries - including Pakistan, Iran and Russia - of giving financial aid to the Taliban. This is a practice they frequently deny. Although impossible to measure exactly, these sources of funding are thought to provide a significant proportion of the Taliban's revenue. According to experts it could be as much as $500m a year.
Afghanistan is the world's largest producer of opium, which can be refined to make heroin. A 10% cultivation tax is collected from opium farmers, according to Afghan government officials. Taxes are also reportedly collected from the laboratories converting opium into heroin, as well as the traders who smuggle the illicit drugs. Estimates of the Taliban's annual earnings from the illicit drug economy range from $100m-$400m. The drug trade accounts for up to 60% of the Taliban's annual revenue. The Taliban often deny their involvement in the drug industry.
The Taliban warned Afghan traders to pay their taxes on various goods - including fuel and construction material. They control all important trade routes and earn a lot through import export taxation.
Taliban have taxed development and infrastructure projects - including roads, schools, and clinics - mostly funded by the West.
The Taliban are thought to have made tens of millions of dollars annually from taxing truckers supplying international forces stationed in various parts of the country.
Each time the Taliban captures a military post or an urban centre, they empty treasuries and seizes scores of weapons, as well as cars and armoured vehicles.
Afghanistan is rich in minerals and precious stones. The Taliban excavated these illegally and have made a lot of money through sales.
This is how the Taliban have made money to buy guns and military equipment. Now that they have taken control of Afghanistan, they have more money and are very powerful.
