Somalia: Government Lacks Capacity to Deter Al-Shabaab Funding, US Report

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Somalilandsun- The Federal government of Somalia is unable to stop fund raising activities of Al-Shabaab, a militant group allied to Al-Qaeda which is battling the government for control of the country.
According to US report Somalia is following “an outdated penal code” that was last revised in 1962, thus lacks the funding and capacity to investigate and prosecute incidents of terrorism financing,”.
Shabaab makes money by illegally producing and exporting charcoal and sugar and by taxing residents and businesses in areas under its control while Somali diaspora reportedly serves as another source of financing the State Department observed

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