Deadly drug wars & terrorism

Today, June 26, 2026 marks the International Day against drug abuse and illicit trafficking. The theme for 2026 is “Drug problem persisting, issues new challenges, innovative responses”. In December 1987, the UN General Assembly decided to observe June 26 as the International Day against Drug Abuse and Illicit Trafficking.

Pakistan is one of the worst-affected victims of terrorism, money laundering, drug trade, tax evasion, corruption and rent seeking as per latest official report of State Department of the United States of America [International Narcotics Control Strategy Report (Vol 1 & II, March 2025)]. The war against terrorist networks in Pakistan (enjoying networking with many outlawed groups having hubs in Afghanistan and elsewhere) cannot be won unless their financial lifeline is destroyed. These networks are minting enormous money from voluntary donations to proceeds of organized crimes.

The questions that irk everybody’s mind are:

• Where from do these terrorists get so much money?

• Why are the governments not serious in cracking down on unlawful transfer of funds?
• If banking channels are used, then why cannot be remitters and recipients traced?
• If hawala and hundi are in action for unlawful transfer of funds, why persons engaged in these unlawful activities remain unpunished?
• Who are financing these terrorist networks?
• Who are providing them sophisticated arms and military training

It is a well-established fact that criminals remit billions of dollars every year from bank accounts maintained in various countries. Crackdown on this enormous dirty money is the real issue though it finds scarce coverage in media and even military strategies to uproot terrorism that is largely fed by arms and drug deals, at domestic and global level.

James Petras, Professor of Sociology, Binghamton University, New York, in his paper, “Dirty Money” Foundation of US Growth and Empire  makes the following startling revelations:

“There is a consensus among U.S. Congressional Investigators, former bankers and international banking experts that USA and European banks launder between $500 billion and $1 trillion of dirty money each year, half of which is laundered by U.S. banks alone”.

These yearly inflows surpass all net transfers by the major US oil producers, military industries and aircraft manufacturers. The most recent estimates (2025) are that 75 offshore jurisdictions around the world licensed about 11,000 offshore banks that control approximately US$165 trillion in assets.

This is the real situation on ground, whereas we have been hearing for many decades from successive United State Presidents about their commitment against wars, against drugs and terrorism (sic). These are in reality phony wars!

President Joe Biden completed withdrawal of American forces on August 30, 2021—few days before the 20th anniversary of 9/11—in the wake of Doha Agreement of February 20, 2020. Behind this was the agenda of recapturing and promoting in Afghanistan Taliban rule and spread of Daesh for destabilizing the entire region for containment of China, attack its Road and Belt Imitative (BRI)—create troubles for Pakistan vis-à-vis China Pakistan Economic Corridor (CPEC), flagship project of BRI.

The International Narcotics Control Strategy Report (INCSR 2025), annually prepared by the US Department of State, reveals:

“Most drugs trafficked through Pakistan are destined for global markets, and law enforcement agencies only intercept a small fraction of them. From July 2023 to June 2024, Pakistan’s law enforcement agencies reported national-level drug seizures including 1.58 metric tons (MT) of morphine, 11.1 MT of heroin, 16.8 MT of opium, 17.36 kilograms (kg) of cocaine, and 138.63 MT of hashish. Pakistan’s government reported seizing 12.03 MT of methamphetamine and 3.3 MT of amphetamine, but no seizures of fentanyl”.

Professor Petras in Enormous By Any Measure says:

“Washington and the mass media have portrayed the U.S. as being in the forefront of the struggle against narco trafficking, drug laundering and political corruption: the image is of clean white hands fighting dirty money. The truth is exactly the opposite”.

The case of Afghanistan is no different where drug barons, through accumulation of vast assets, cripple state institutions (the chapter ‘Norwegian Connection’ in Pakistan: From Hash to Heroin testifies to it).

Since organised crime syndicates have deeply embedded tentacles and influences in the financial systems, terrorists find no difficulty in exploiting the available infrastructure.

There is sufficient evidence that militant groups working against the security and stability of Pakistan generate huge funds through organized criminal activities and also get generous “donations” from “sympathizers” in and outside Pakistan.

It is matter of record that soon after the news of withdrawal of US/allied forces, the Taliban/Daesh forces, financed by drug barons and warlords, started taking over the capital of all main provinces of the country. It was written on the wall that they would capture Kabul once again and second dark era of terrorism with hidden hands behind was bound to threaten Pakistan as a step to counter BRI.

In the face of ongoing New Great Game and wanton attacks of Israel on Iran and other countries, Pakistan needs to develop links with golden ring countries and forge a bloc to counter financing of terrorism and money launderers, explained in detail in Pakistan Tackling FATF: Challenges & Solutions.

There is an urgent need to establish a joint team of the National Accountability Bureau (NAB), Federal Investigation Agency (FIA), Anti Narcotics Force (ANF) and Federal Board of Revenue (FBR) to book and prosecute the men and networks involved in organised crimes.

Pakistan has already suffered massively due to terrorists and drug mafias crippling institutions making millions of youth dependent on drugs. Pakistan has paid a heavy price in men and material while fighting against terrorism. Determined and practical efforts are now needed to destroy the financial supply lines of organised criminal networks.

We need to make National Counter Terrorism Authority (NACTA) an effective institution like UK National Crime Agency (NCA). It is time to evaluate what happened to National Action Plan (NAP) and 29 civil-military wings established way back in August 2016. These and many other questions need to be considered seriously, if we are committed in uprooting terrorism, drug trafficking and other organised criminal activities.

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Dr. Ikramul Haq, Advocate Supreme Court, Adjunct Faculty at Lahore University of Management Sciences (LUMS), member Advisory Board and Visiting Senior Fellow of Pakistan Institute of Development Economics (PIDE), holds an LLD in tax laws. He was full-time journalist from 1979 to 1984 with Viewpoint and Dawn. He also served Civil Services of Pakistan from 1984 to 1996.  He has been studying since 1980 the linkages of narcotics trade with terrorism. He is author of many articles on the issue and two books, Pakistan: From Hash to Heroin and its sequel Pakistan: From Drug-trap to Debt-trap.