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Financing Islamist terrorism

Even the most enlightened policies may not end transnational Islamist terrorism, but the counter-terrorism coalition can contain terrorists by shrinking and constricting their operating environment, and financial surveillance and interdiction is crucial to this effort. Terrorism is relatively cheap, but it is not free: it requires, among other things, money for safe houses, salaries and weapons. This comes from a broad, transnational array of sympathisers and 'fellow travellers'. Financial regulators should therefore cast a wide net that encompasses the entire international matrix of terrorism supporters, and not just al-Qaeda and its known affiliates. Since 11 September 2001, in both Europe and the United States, regulators have attempted to do just that.