“The Islamic State is still a force in the region, but, this drop in revenue is a significant figure and will increase the challenge for the group to run its territory in the long term,” expert says.
Islamic State’s monthly revenue has dropped almost 30 percent in the past year and the terrorist organization has resorted to imposing fines to make up the funds, new analysis released Sunday by IHS revealed.
In mid-2015, Islamic State’s overall monthly revenue was around $80 million, but it had declined to $56 million as of March 2016 as oil production fell to 21,000 barrels per day from 33,000.
“The Islamic State is still a force in the region, but, this drop in revenue is a significant figure and will increase the challenge for the group to run its territory in the long term,” said Ludovico Carlino, a senior analyst at IHS. “ According to the report, the decline is highly likely to reflect the intensification of the US-led coalition’s military and, to a lesser extent, Russian efforts to degrade Islamic State’s capability to produce oil.
As reported by The Jerusalem Post