Terrorism Financing Typologies: Comparison of PKK and ISIL in Turkey

Abstract

This comparative case study investigated the financing typologies of Kurdistan Workers Party (PKK) and Islamic State of Iraq and the Levant (ISIL) in Turkey. PKK is a Marxist- Leninist organization that pursues ethnic separationist policies in Turkey, Iran, Iraq, and Syria. ISIL is a radical Wahhabi network that aspires to re-establish the Caliphate and restore the “glory” of Sharia by defeating the “near” and “far” enemies. These networks are chosen for this case study as they operate in close proximity along Turkish, Iraqi and Syrian borders. In addition to primary and secondary interviews, the research has been based on content analysis of unclassified documents and media coverage on counter PKK/ISIL investigations. This study indicated that both organizations have been highly skillful in exploiting the regional licit and illicit enterprises. Financing methods of PKK and ISIL were similar in complex regional underground economic infrastructure. However, PKK has been able to develop much more sophisticated financial infrastructure than ISIL due to a longer life span and existence of specialized cadres in the Middle East and Europe. Ideology had a significant impact on differences in state sponsorship and exploitation of non-profit organizations. Both the Marxists and radical İslamists encouraged illicit trade schemes not only to generate funds but also to avoid taxation by the “hostile” regimes. ISIL has failed to develop advanced financing infrastructure mainly due to a shorter life span, loss of territorial control and the UN-US sponsored international sanctions.