USAID Funding Linked to Islamist Terror Groups: MEF Report

Staff Reporter

A recent report by the Middle East Forum (MEF) alleges that substantial funding from the United States Agency for International Development (USAID) and the U.S. State Department has been directed to organizations with links to designated terrorist groups, including Islamist extremists. This revelation underscores concerns about unintentional support for global terrorism, with implications for countries like Bangladesh, where extremist ideologies are already a growing threat.

According to MEF, $164 million in grants were approved for extremist-affiliated groups, of which over $122 million reportedly went to organizations tied to terror networks. Allegations include funding in Gaza-controlled Hamas territories and connections to violent groups like Jamaat-e-Islami, known for promoting extremism in South Asia.

Among the most concerning cases, MEF highlights Muslim Aid, a global charity with alleged deep ties to Jamaat-e-Islami. Despite accusations of supporting terrorism, including links to Hamas, Muslim Aid received over $1.5 million from USAID in 2013 through a sub-grant by ACDI/VOCA.

Founded in London in 1985, Muslim Aid has become one of the largest Islamic charities worldwide, generating millions annually. The organization has historical ties to Jamaat-e-Islami, with one of its founders, Chowdhury Mueen-Uddin, convicted of leading death squads during Bangladesh’s 1971 Liberation War.

Muslim Aid has been accused of financially supporting jihadist groups. Investigations by the U.S. Treasury’s Office of Foreign Assets Control identified Muslim Aid as a potential financier of terrorism. The charity has admitted to funding entities linked to Hamas, including the Al-Ihsan Charitable Society, which is designated by the U.S. government as a terrorist-supporting organization.

Muslim Aid’s alleged activities extend globally. Its Australian branch reportedly aided jihadist groups in Indonesia, while in Pakistan, the charity openly partnered with Al-Khidmat, Jamaat-e-Islami’s charitable wing, linked to Hizbul Mujahideen, a designated terror group. Spanish police accused Muslim Aid of funding jihadists in Bosnia during the 1990s.

Muslim Aid’s board members include figures like Manazir Ahsan, linked to coordinating Islamist protests in the UK, and Zafar Hossain Qureshi, who reportedly manages international activities of Zakir Naik, a preacher wanted for terrorism-related charges in India.

Jamaat-e-Islami-affiliated organizations receiving foreign aid raises alarms in Bangladesh, given the group’s history of inciting violence and spreading extremist ideologies. Such funding risks fueling anti-government and anti-Western sentiments, exacerbating the country’s security challenges.

In addition to Muslim Aid, USAID has reportedly funded other organizations like the Read Foundation, accused of promoting extremist education in Pakistan and Kashmir.

The MEF report calls into question the efficacy of USAID’s vetting process, urging stricter oversight to ensure taxpayer dollars do not inadvertently support terrorism. Strengthened due diligence is necessary to prevent extremist ideologies from spreading under the guise of international aid. For Bangladesh, combating Islamist extremism requires heightened vigilance by the government and security agencies to counter the influence of foreign-funded extremist groups. International aid programs must adopt more stringent measures to avoid empowering organizations that undermine peace and stability.